Asked by
Easton Ramirez
on Nov 12, 2024Verified
Which of the following is not a difference between a retail business and a service business?
A) in what is sold
B) the inclusion of gross profit on the income statement
C) accounting equation
D) merchandise inventory included on the balance sheet
Retail Business
A business entity that sells goods or services directly to consumers.
Service Business
A business that provides intangible products or services to customers.
Gross Profit
The difference between sales and the cost of goods sold, representing the profit from buying and selling goods before other expenses are taken out.
- Discern the basic disparities in financial reporting between merchandising and service-oriented companies.
Verified Answer
MP
Learning Objectives
- Discern the basic disparities in financial reporting between merchandising and service-oriented companies.
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