Profit Inc., a manufacturing firm, has purchased raw materials worth $10,000 on credit from its vendors. The business plans to settle the vendor’s full payment after two months. Under "current liabilities"section of balance sheet this account will be recorded as "account payable".
Answer: Option (B) is correct
<u>Explanation:</u>
Raw material purchased on credit from a vendor is a liability and it is shown under current liabilities in "accounts payable". Since raw material purchased on credit and payment is to be made after two months.
Payment due gives rise to liability. Now current liability is a company's short term obligations that are to be paid back within a year. Here the firm will have to make payment within two months to the vendor.
Answer:
The three types of distribution channels are wholesalers, retailers, and direct-to-consumer sales. ... Retailers are generally the customers of the wholesalers and offer high-touch customer service to the end customers.
<span>Many companies make sugar free soft drinks , which are flavored by synthetic chemicals the drinks usually contain only one or two calories per serving.</span>
There are four main types of distribution channels;
1) Manufacturer > Wholesaler > Retailer > Consumer
2) Manufacturer > Wholesaler> Consumer
3) Manufacturer > Retailer > Consumer
4) Manufacturer > Consumer
Therefore the most likely answer here is option C
Producer to Wholesaler to Consumer
