Some Business Activities in the Purchasing and Payments Processes Result

Multiple Choice

Some business activities in the purchasing and payments processes result in the exchange of economic resources and recording of accounting transactions. Other activities in the processes do not result in an accounting transaction. Choose from the list below the activity that does NOT result in an accounting transaction.

A) Returning goods or negotiating allowances
B) Negotiating contracts and payment terms
C) Paying for purchases
D) Receiving raw materials