Which of the Following Statements Is Not Correct Regarding Accounts

question 83

Multiple Choice

Which of the following statements is not correct regarding accounts payable management and average payment period (APP) ?

• A) A firm wants to pay for its purchases as slowly as possible.
• B) The faster the firm pays for its supply purchases, the longer it can avoid financing such as notes payable or long-term debt.
• C) A high APP is generally a sign of good management.
• D) An extremely high APP could be a sign of bad firm management.

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Definitions:

Bedfast Patient

A term describing a patient who is confined to bed due to illness or mobility issues, requiring assistance for most activities.

Back Strain

Injury to the muscles or tendons in the back, often caused by lifting heavy objects improperly or sudden movements.

Health Care Providers

Professionals who offer services aimed at maintaining or improving health, including doctors, nurses, and therapists.

Pelvic Region

The lower part of the torso situated between the abdomen and the thighs; encompasses the pelvic bones and surrounding structures.