Which of the Following Actions Will Tend to Decrease the Accounts

question 23

Multiple Choice

Which of the following actions will tend to decrease the accounts receivable period?
I. loosening the standards for granting credit to customers
II. increasing the discount for early payment by credit customers
III. increasing the finance charges applied to all customer balances outstanding over thirty days
IV. granting discounts for cash sales

• A) I and III only
• B) II and IV only
• C) I, II and IV only
• D) II, III and IV only
• E) I, II, III and IV

---

Definitions:

False Confidence

An unfounded belief in one's abilities or outcomes, which can lead to taking undue risks or making poor decisions.

Glass Ceiling Effect

An invisible barrier limiting career advancement of women and members of visible minorities.

Stereotyping

The oversimplified and generalized perception or judgment of a group of people based on common traits or attributes.

Psychological Contract

An unwritten agreement that reflects the mutual beliefs, perceptions, and informal obligations between an employer and its employees.