An Increase in a Company's Average Collection Period Is Most

question 43

Multiple Choice

An increase in a company's average collection period is most likely related to a(n)

• A) increase in sales.
• B) tightening of the company's credit policy.
• C) loosening of the credit terms.
• D) decrease in sales.

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Definitions:

Forecasts

Predictions about future conditions or occurrences, often based on statistical analysis or current trends.

Push Model

A distribution method where products are pushed through the supply chain, from production to final consumers, without direct consumer demand driving it.

Pull Model

A supply chain management strategy where the demand for product initiates production and distribution, in contrast to the traditional push model driven by forecasted demand.

Open-Source CRM

A customer relationship management system whose source code is available freely for use, modification, and distribution.