Concept introduction:
An organization can be classified into manufacturing or servicing firm. The activities done under manufacturing business are manufacturing, payment to the supplier, sales and receipts from the customer.
To choose:
The primary source of revenue for a service business.
Answer to Problem 1MC
C. Providing intangible good and services
Explanation of Solution
Explanation for correct answer:
The primary source of revenue for a service business is providing intangible good and services. Hence the correct option is C.
Explanation for incorrect answers:
A. The primary source of revenue for a service business is providing intangible good and services. Hence this option is incorrect.
B. The primary source of revenue for a service business is providing intangible good and services. Hence this option is incorrect.
D. The primary source of revenue for a service business is providing intangible good and services.. Hence this option is incorrect.
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Principles of Accounting Volume 2
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