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:

Fear of Crime

A psychological state sparked by perceived risk or danger of being a victim of crime, affecting individual and community behavior and attitudes.

Criminal Justice Policy

Guidelines and laws that govern the operation of the criminal justice system, including law enforcement, courts, and corrections.

Punitive Policies

Laws or regulations that are mainly designed to punish individuals or entities for wrongdoing.

Law of Opposites

A philosophical concept suggesting that contradictions and opposing forces are inherent in all aspects of reality, often leading to development and change.