A Consumer Good That Has a Life Span of More

question 384

Multiple Choice

A consumer good that has a life span of more than three years is a(n)

• A) durable consumer good.
• B) nondurable consumer good.
• C) service.
• D) investment.

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Definitions:

Factory Supplies Expense

The cost associated with supplies used in the production process within a manufacturing facility.

Depreciation Expense-Factory

The portion of a factory's fixed assets' cost allocated as an expense during a fiscal period, due to wear and tear.

Permanent/Temporary

Refers to elements in financial or other records that either remain constant over time (permanent) or exist only for a specific period before being eliminated (temporary).

Financial Statement

A formal record of the financial activities and position of a business, individual, or other entity.