Which of the Following Statements Is FALSE

question 2

Multiple Choice

Which of the following statements is FALSE?

• A)After a firm decides on its credit standards,it must next establish its credit terms.
• B)The decision of how much credit risk to assume plays a large role in determining how much money a firm ties up in its payables.
• C)Knowledge of the payments pattern is also useful for forecasting the firm's working capital requirements.
• D)An aging schedule categorizes accounts by the number of days they have been on the firm's books.

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Definitions:

Power Distance

A cultural dimension that describes the extent to which less powerful members within a society accept and expect power to be distributed unequally.

Cultural Differences

The variations in the practices, values, and beliefs among different groups of people.

Not-invented-here Syndrome

A mindset or culture within an organization where innovations or solutions that originated externally are rejected or not adopted.

Cultural Intelligence

The capability to relate and work effectively across cultures, understanding and adapting to cultural norms and differences.