Which of the Following Is a Correct Statement Regarding the Characteristic

question 69

Multiple Choice

Which of the following is a correct statement regarding the characteristic of inseparability of services?

• A)Inseparable services cannot be produced and marketed simultaneously.
• B)Direct sale is the only feasible channel of distribution for inseparable services.
• C)When the buyer has a tangible representation of a service,the problem of inseparability occurs.
• D)Inseparable services can be inventoried.

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Definitions:

Investment Decision

The process of evaluating and selecting where to allocate financial resources to achieve anticipated financial returns or gains.

Straight-Line Depreciation

A method of calculating the depreciation of an asset whereby the original cost is reduced equally across each year of its estimated useful life.

Salvage Value

The predicted disposal value of an asset at the conclusion of its usable life.