Ordinary annuity payments occur at the beginning of the period, whereas annuity due payments occur at the end of the period

Indicate whether the statement is true or false.


Answer: FALSE
Explanation: Annuity due cash flows are at the beginning of the period.

Business

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On May 1, the Chris Company borrowed $30,000 from the Third Street Bank on a 1-year, 6% note. If the company keeps its records on a calendar year, an entry is needed on December 31 to increase

a. Interest Expense, $600. b. Interest Expense, $1,800. c. Interest Payable, $900. d. Interest Payable, $1,200.

Business

The fact that a customer may be called on by several salespeople from the same company is a disadvantage of a:

A) product/product system. B) market/market system. C) product/market system. D) market/customer system.

Business

Under both the periodic and perpetual inventory systems, the temporary account Purchases Returns and Allowances is used to accumulate the cost of all returns and allowances for a period.

Answer the following statement true (T) or false (F)

Business

Which management activity is growing due to reduced government support for nonprofit organizations?

A. fund-raising B. staff training C. leading volunteers D. employee supervision

Business