Which of the Following Statements Is False

question 255

Multiple Choice

Which of the following statements is false?

• A) By extending credit, a firm typically increases its cash flow through increased gross profits.
• B) A cash discount is typically intended to be an incentive to pay early.
• C) All else the same, firms with higher markups will tend to have more flexible credit terms.
• D) Whenever credit is extended to a new customer who would not otherwise pay cash, the amount the seller has at risk is the price the customer pays.
• E) The carrying costs associated with granting credit will increase as credit policies are relaxed.

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Definitions:

Netsuite CRM+

An advanced customer relationship management module offered by NetSuite that integrates sales, customer service, and marketing functions.

Mobile

Pertaining to handheld digital devices, including smartphones and tablets, and the technology and services associated with their use.

Social

Relating to society, the interaction among individuals, or the use of social media platforms for communication and content sharing.

Real-time CRM

Customer Relationship Management systems that allow businesses to interact with customers with minimal delay, enhancing customer service and satisfaction.