Credit terms of 1/10, net 30 mean:

A) purchases made between the first and tenth day of the month must be paid by month end.
B) if the vendor is not paid within 30 days, 1% interest is charged for every 10 days thereafter.
C) the vendor will grant a discount of 10% for payment within 30 days.
D) the vendor will grant a 1% discount if paid within 10 days; otherwise the bill is due in full within 30 days.

If a company mistakenly counts less items during a physical inventory than actually exist, how will the error affect the cost of goods sold?

A) understated
B) overstated
C) no change
D) only inventory will be affected

When we say that rewards should be contingent on the needs of the worker, we mean that workers with different needs may require different rewards.

As discussed in Giles v.First Virginia Credit Services,Inc. ,the case in the text,creditors that act improperly in repossessing collateral:

A) lose their security interest in the collateral.
B) must return the repossessed collateral.
C) are liable to the parties injured.
D) lose priority in bankruptcy proceedings.

Which of the following is false regarding Chapter 13 bankruptcy?

A) Chapter 13 permits individuals to pay their debts to creditors in installment plans under the supervision of the court.
B) Any debtor who files under Chapter 13 could also have filed under Chapter 11.
C) Chapter 13 repayment plans are usually simpler and less expensive than Chapter 11 plans.
D) By statute,Chapter 13 plans last between 36 and 60 months.
E) Individuals,partnerships,and corporations may file under Chapter 13.

Cool Tours had beginning equity of $72,000; revenues of $90,000, expenses of $65,000, and withdrawals by owners of $9,000. Calculate the ending equity.

A) $88,000.
B) $25,000.
C) $97,000.
D) $38,000.
E) $47,000.