Bill owns and operates a farm and a farm machinery dealership. Under the Code, a new tractor that Bill uses on his farm is classified as: a. equipment. b. farm products. c. inventory. d. consumer goods.

Question

Computers & Technology

Tavian

2 June, 10:32

Bill owns and operates a farm and a farm machinery dealership. Under the Code, a new tractor that Bill uses on his farm is classified as: a. equipment. b. farm products. c. inventory. d. consumer goods.

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Answers (1)

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Madeleine Powers · Answer 1

Option A i. e., equipment.

Explanation:

Bill runs a small a farm distributor and a farm equipment company. A new tractor, which Bill operates on his farm, is listed as equipment under the Code because he runs a farm and also deals with a farm machinery that is equipment.

Option B is not true about the scenario because he is not deals with the farm products he, ha has the company of farm machinery. Option c is not true about the scenario because inventory deals with the already stored products related to its field and in the above scenario, there is not mention about that. Option D is also not true about the scenario because there is the difference in the consumer goods and the equipments.