Commerce Questions and Answers

Current assets is a balance sheet item that represents the value of all assets that can reasonably be expected to be converted into cash within one year. Example is stock

stock is a current asset because it can easily be convertible to cash

The function of storage can be carried out successful with the help of warehouses used for storing the goods. By storing the goods throughout the year and releasing them as and when they are needed, warehousing creates time utility.

warehousing doesn’t create scarcity of goods instead it makes goods available

An import quota is a type of trade restriction that sets a physical limit on the quantity of a good that can be imported into a country in a given period of time.

Quota, in international trade, government-imposed limit on the quantity, or in exceptional cases the value, of the goods or services that may be exported or imported over a specified period of time

A counter offer is an offer made in response to a previous offer by the other party during negotiations for a final contract. Consensus ad idem in contract law means there has been a meeting of the minds of all parties involved and everyone involved has accepted the offered contractual obligations of each party.

Consensus ad idem in contract law means there has been a meeting of the minds of all parties involved and everyone involved has accepted the offered contractual obligations of each party

Privatization is the process of transferring an enterprise or industry from the public sector to the private sector. The public sector is the part of the economic system that is run by government agencies

The transfer of ownership, property or business from the government to the private sector is termed privatization