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When an Accounts Payable Department Improves Their Information System Resulting

Question 3

Multiple Choice

When an Accounts Payable department improves their information system resulting in faster payments to vendors, without the Accounts Receivable Department doing the same, leading to a cash flow crunch, what can we say happened in decision-theoretic terms?


A) optimization
B) profit minimization
C) suboptimization
D) cash flow problems

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