The Form of Business Ownership That Is the MOST Easily

question 2

Multiple Choice

The form of business ownership that is the MOST easily transferable is the

• A)general partnership.
• B)corporation.
• C)close corporation.
• D)sole proprietorship.

Calculate and interpret the accounting rate of return for investment decisions.

Understand and calculate the net present value (NPV) of an investment.

Grasp the importance of the internal rate of return (IRR) and its role in investment decisions.

Analyze production capacity and determine the most profitable production and sales mix.

---

Definitions:

Credit Sales

Transactions where goods or services are sold and delivered, but payment is deferred to a later date, creating receivables for the seller.

Factors Receivables

The process of selling accounts receivable to a third party (factor) at a discount in exchange for immediate cash.

Accounts Payable

The amounts owed by a company to suppliers or creditors for goods and services received.

Cost of Goods Sold

Expenses directly tied to the production process of goods a company markets, including both materials and labor costs.