The Longer Its Customers Normally Hold Inventory, the Longer the Credit

question 99

True/False

The longer its customers normally hold inventory, the longer the credit period supplier firms normally offer.Still, suppliers have some flexibility in the credit terms they offer.If a supplier lengthens the credit period offered, this will shorten the customer's cash conversion cycle but lengthen the supplier firm's own CCC.

---

Definitions:

Nasal Cavity

The hollow space within the nose through which air passes, lined with mucous membrane and responsible for filtering, warming, and humidifying inhaled air.

Ventilation

Movement of gases into and out of the lungs.

Nasopharynx

The upper part of the throat that connects the nasal cavities to the throat, playing a crucial role in respiration and vocalization.

Uvula

The fleshy extension at the back of the soft palate that hangs above the throat, playing a role in speech and swallowing.