All categories

3 years ago

What are the different types of business

Business

1 answer:

Fantom [35]3 years ago

7 0

Answer:

1. Service Business

2. Merchandising Business

3. Manufacturing Business

Explanation:

1. Service Business

A service type of business provides intangible products (products with no physical form). Service type firms offer professional skills, expertise, advice, and other similar products.

Examples of service businesses are: salons, repair shops, schools, banks, accounting firms, and law firms.

2. Merchandising Business

This type of business buys products at wholesale price and sells the same at retail price. They are known as "buy and sell" businesses. They make profit by selling the products at prices higher than their purchase costs.

A merchandising business sells a product without changing its form. Examples are:

grocery stores, convenience stores, distributors, and other resellers.

3. Manufacturing Business

Unlike a merchandising business, a manufacturing business buys products with the intention of using them as materials in making a new product. Thus, there is a transformation of the products purchased.

You might be interested in

On December 15, 2021, Rigsby Sales Co. sold a tract of land that cost $3,300,000 four $5,000,000. Rigsby appropriately uses the

Flura [38]

<u>Solution and Explanation:</u>

Installment Receivables (Net) of $2,905,600

Basis Particulars Debit Credit

Sale:- Instalment Receivables $5,000,000

Inventory $3,200,000

Deferred gross profit $1,800,000

Payment:- Cash $4,90,000

Instalment Receivables $4,90,000

Deferred Gross profit $165,600

Realised Gross profit $165,600

Instalment Receivables ($5,000,000 minus $490,000) = $4,510,000

Deferred gross profit ($1,800,000 minus $165,600) = $1,634,400

Instalment Receivables (Net) = $2,875,600

8 0

3 years ago

On June 19, Don Co., a U.S. company, sold and delivered merchandise on a 30-day account to Cologne GmbH, a German corporation, f

nirvana33 [79]

Answer: $197,600

Explanation: Don Co is making a sale to Cologne GmbH and on the date of the transaction there is an exchange rate called the spot rate. Don Co will record in its books the value of the transaction on the set date at the spot rate which is:

200,000 euros @ .988

= $197,600

on the date of the settlement of the debt by Cologne GmbH, the spot rate is also considered which will be 200,[email protected] .995 = $199,000

Note that on the payment date, the exchange rate has gone up and now Don Co has a higher receivable value that what is in its book.

the difference of $1,400 ($199,000-$197,600) will now be noted in the books of Don Co as an exchange gain on the transaction.

8 0

3 years ago

Intermediate Goals for game designers i need help

Zigmanuir [339]

Answer:

look at valorant the game outfits

8 0

3 years ago

An organization owned by stockholders that accepts deposits, processes payments, and

Oxana [17]

Answer:

A Bank

Explanation:

8 0

3 years ago

There are several steps you can take to reduce the potential of being a victim

vitfil [10]

Answer:

Here are some steps to be taken to avoid being a victim of consumer fraud:

Spot Imposters: Scammers often pretend to be someone else, especially one you can trust, like a government official.
Online searching: Search about the company of product online to see if it is legit or not.
Don't pay in advance: Scammers always try to get money in advance, in terms of taxes or fees.
Discuss with someone: Before giving someone your money, talk to someone you trust or preferably to an expert.
Personal information: Don't given any unknown person your personal information, money, or any kind of financial details

7 0

3 years ago