Naveen Has Received Notice from a Supplier That All Invoices

question 9

Multiple Choice

Naveen has received notice from a supplier that all invoices must be paid within 30 days rather than 60 days as previously granted.Which of the following will be impacted by this change?

• A)Inventories
• B)Raw materials inventory
• C)Accounts receivable
• D)Capital expenditures
• E)Cash flow

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Definitions:

Secondary Sources

Informational materials that interpret, critique, or analyze primary sources, often used in academic research.

Uniform Law

A model law created by the National Conference of Commissioners on Uniform State Laws and/or the American Law Institute for the states to consider adopting. If a state adopts the law, it becomes statutory law in that state. Each state has the option of adopting or rejecting all or part of a uniform law.

Statutory Law

The body of law enacted by legislative bodies (as opposed to constitutional law, administrative law, or case law).

Secondary Source

Information that has been compiled, summarized, or quoted from primary sources, often used in academic and historical research.