Sloan owns a small corner market that sells everything from canned goods to small toiletries, milk, cheese, and several other dairy products. If Sloan doesn't sell the perishable items like dairy products by their expiration date, these items must be thrown out and are considered what kind of expense?
(1 point)
A. Minimum
B. Unrecoverable
C. Recoverable
D. Reticent
B. Unrecoverable
The correct answer is B. Unrecoverable.
The answer to the question is B. Unrecoverable.
To arrive at this answer, you need to understand the concept of expenses and how they are classified. In this case, the perishable dairy products that are not sold by their expiration date are considered expenses. Now, the important factor to consider is whether these expenses are recoverable or not.
In this scenario, if the dairy products are not sold before their expiration date, they cannot be recovered or resold. Therefore, they are considered unrecoverable expenses. These unsold and expired items would need to be thrown out and cannot be recouped or utilized for any financial gain.
Hence, the correct option is B. Unrecoverable.