In a Business,accepting Payments by Credit Card Causes Significant Differences

question 85

Multiple Choice

In a business,accepting payments by credit card causes significant differences between the bank and book balances because the credit card service provider:

• A) records the gross amount of each credit card sale.
• B) deposits the amount of the sale in the business's account on the date of the sale itself.
• C) deposits the sale amount in the business's account after deducting a service fee.
• D) retains the sale amount in the business's account in the event of customer challenge.

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Definitions:

Root Mean Square of Errors

A measure of the differences between values predicted by a model or an estimator and the values observed, expressing the square root of the mean of the squares of these differences.

Actual Value

The true, factual, or real value of a measurement, differing from an estimated or theoretical value.

Forecast Value

The estimated or predicted value of a variable or set of variables at some point in the future.

Mean Square Error

A measure of the average of the squares of the errors—that is, the average squared difference between the estimated values and the actual value.