Types of Business According to Activities

Services performed by service companies may include all of the following , EXCEPT:

• Transportation services

• Professional services

• Legal advice

• No correct answer

The operating cycle of a service company involves which of the following?

• Collecting cash payments

• Performing services

• Paying out labor and other operating expenses

• All of the answer is correct

A merchandising company that sells goods directly to customers is called

• Manufacturer

• Wholesaler

• Retailer

• No correct answer

Mariane wants to buy a building for her business today. Which of the following is the relevant data for her decision?

• Similar business acquired the required building in 2010 for Php 3,000,000.00

• Building cost details of 2014

• Similar building cost in the previous month

• Building cost details of 2011

Deals with independent verification and examination of the accounting records for the purpose of giving an opinion on the fairness of its presentation?

• Owners or managers

• Fund Accounting

• Financial Accounting

• Auditing

Which of the following statements regarding service companies is correct?

• Service companies are firms that generally use their employees to provide intangible products or services to customers.

• A department store may be considered a service company because the sales ladies assist the customers in buying merchandise.

• Service companies are firms that generally use their employees to provide tangible products to customers.

• Service companies basically provide almost the same services to their customers.

The major input used by service company is:

• Labor

• Raw materials

• Overhead

• All of the choices

It pertains to process of converting raw materials, components, or parts into finished goods that meet a customer's expectations or specifications.

• Manufacturing

• Inventory

• Inventing

• Innovating

Who buys large quantities of goods directly from the manufacturers or importers, and then resells the same to the different merchandisers.

• Traders

• Retailers

• Whole salers

• Merchandisers

Which of the following is considered a service type of business?

• Dresses by Pauline

• Shaskia's Cake and Pastries Bakery

• Patricia's School for Toddlers

• Karla's Meat shop