Which of the Following Would Not Be Suggestive of a Company

question 42

Multiple Choice

Which of the following would not be suggestive of a company recognizing sales too early?

• A) large and volatile amounts of uncollectible accounts receivable
• B) excessive warranty expenditures
• C) large growth in accounts receivable
• D) unusually large amount of returned goods

---

Definitions:

Follow-Up

The process of making additional contact with customers after a sale to ensure satisfaction and to create opportunities for future sales.

Service Recovery Process

Involves actions a company takes to rectify a failed service, aiming to restore customer satisfaction and loyalty following service failures or complaints.

Three Fs

The term "Three Fs" refers to Friends, Family, and Fools, often mentioned as the initial source of funding for start-ups and small businesses.

Orphan

A child who has lost both parents through death or, in some definitions, a child who has lost one parent.