Final answer:
The line item unique to a merchandiser's income sheet compared to a service firm's would be the 'cost of goods sold' because service firms do not deal in physical goods, which this cost relates to.
Step-by-step explanation:
The item that would be found on a merchandiser's income sheet and not on a service firm's is e. cost of goods sold. This is because merchandisers sell physical goods, and the cost associated with purchasing or manufacturing these sold goods directly impacts their profits. In contrast, service firms do not sell physical goods, and thus they do not have a cost of goods sold entry on their income statement. Instead, service firms might have costs associated with delivering services, like wages for service delivery staff, but this does not qualify as the cost of goods sold.
When people pay for goods and services from the firms, this is regarded as consumer expenditure, which reflects expenses for the consumers and income for the firms. Contributions to Gross Domestic Product (GDP) include transactions like the cost of hospital stays and new car sales, but not the rise in life expectancy or care provided by a non-professional, such as a grandmother. Inventories also reflect a component of GDP, with their levels fluctuating based on business performance.