Market Mechanisms as Tools or Instruments of Policy Are Defined

question 11

Multiple Choice

Market mechanisms as tools or instruments of policy are defined as ______.

• A) those that rely upon the laws of supply and demand to influence the behavior of individuals or corporations
• B) regulating how transactions are conducted in the market
• C) using forms of persuasion and education
• D) government management of individuals or corporations

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Definitions:

Past-due Account

An account that has not been paid by the due date, indicating overdue payments.

Receivable

Amounts of money owed to a company by customers or clients for goods or services delivered but not yet paid for.

Average Collection Period

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

Accounts Receivable

Funds that are owed to a company by its customers for products or services provided on credit.