Merchant wholesalers differ from brokers in that merchant wholesalers ________
A) are generally paid a commission for arranging sales
B) never actually own the products they handle
C) take legal title to goods they distribute
D) sell various noncompeting products to customers in a specific region
E) offer a limited range of convenience goods, long service hours, and quick checkouts
Answer: C
Explanation: Merchant wholesalers are independent wholesalers that take legal title to goods they distribute. Unlike merchant wholesalers, agents and brokers never actually own the products they handle, and they perform fewer services.
You might also like to view...
A decentralized advertising system is first broken up by
A. subfunction of advertising. B. medium. C. end user. D. product or brand. E. separate departments.
On July 1, 2017, Rectangle, Inc purchased Diamond Company's five-year 12% bonds with a face value of $500,000 for $569,000, which included $25,000 of accrued interest. The bonds, which mature on February 1, 2022, are to be held-to-maturity and pay interest on February 1 and August 1. Rectangle uses the straight-line method of amortization. The amount of income that Rectangle would report for the
calendar year 2017 as a result of this long-term investment would be A) $20,400. B) $25,200. C) $30,000. D) $34,800.
________ pricing is a matter of reengineering the company's operations to become a low-cost producer without sacrificing quality
A) Value B) Going-rate C) Auction-type D) Markup E) Perceived-value
Favorable variances are represented by credit balances in the overhead account
Indicate whether the statement is true or false