Inflation Is Caused by ________

question 1

Multiple Choice

Inflation is caused by ________.

• A)unions
• B)rapid growth of money supply
• C)excess supply
• D)low rates of capacity utilisation

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Definitions:

Average Collection Period

The average collection period is the average amount of time it takes for a business to receive payments owed by its customers for sales made on credit.

Accounts Receivable

Money owed to a business by its customers for goods or services delivered but not yet paid for.

Sales on Account

Transactions where goods or services are delivered with payment to be made at a later date, typically recorded as accounts receivable.

Inventory Turnover

A financial ratio indicating how many times a company's inventory is sold and replaced over a period, illustrating the company's efficiency in managing and selling its stock.