Multiple Choice
Which statement concerning trade credit is not true?
A) Credit can be a more convenient method of paying for goods than cash.
B) Trade credit is an important source of finance for most businesses.
C) Trade credit is generally regarded as a 'free' source of finance.
D) A discount of 1% offered for prompt payment of amounts owning to creditors is hardly worth taking.
Correct Answer:

Verified
Correct Answer:
Verified
Q43: Which changes would increase a firm's net
Q44: The length of the period of credit
Q45: If sales are $850,000, the cost of
Q46: Which of the following is not a
Q47: If the planned level of sales is
Q49: The formula for the average inventory turnover
Q50: The holding of cash to meet the
Q51: The statement concerning the just-in-time inventory management
Q52: Management of working capital is important because
Q53: Working capital is a measure of a