The Effective Management of Accounts Receivable Requires Financial Managers to

question 77

Multiple Choice

The effective management of accounts receivable requires financial managers to

• A) review the credit history of new customers.
• B) provide prompt cash payments to suppliers.
• C) allow customers more time in paying their past due accounts.
• D) refuse bank-issued credit cards.

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Definitions:

Communication

The process of exchanging information, thoughts, messages, or speech, either verbally or non-verbally, between two or more individuals.

Superiors

Individuals in a higher position or rank within an organization, having authority over others in lower positions.

Organic Organizations

Flexible and adaptive organizational structures that are characterized by decentralized decision-making, wide spans of control, and less formal hierarchy.

Network Structure

An organizational layout where groups or individuals work independently but remain connected through a web of relationships.