Liabilities: Although Prompt Payment of What Is Owed (Payables) Establishes

Multiple Choice

Liabilities: Although prompt payment of what is owed (payables) establishes good credit ratings and a good relationship with suppliers, it is often necessary to delay payments of bills in order to____________________________.

A) Use those liabilities due for payment within a year
B) everything owed to creditors
C) more effectively manage cash flow.
D) those liabilities the business intends to pay within the next month
E) None of the answers apply.