Which of the Following Is Least Likely to Be Correct

question 24

Multiple Choice

Which of the following is least likely to be correct for a firm that repeatedly stretches its payables?

• A) The firm may receive more favorable status from suppliers due to its volume of purchases.
• B) The firm may reduce its explicit short-term interest expense.
• C) The cost of forgone discounts may exceed the cost of bank credit.
• D) The firm may be labeled as a credit risk.

---

Definitions:

Demographic Data

Statistical information about the characteristics of a population, such as age, gender, income, and education, used for market analysis.

Personalize

Tailoring a product, service, or experience to meet the specific needs or preferences of an individual customer.

Strategic Business Units

Distinct parts of an organization that operate within their own individual mission, vision, and objectives, focusing on specific markets or products.

Small Wallets

Refers to consumers with limited spending power or financial resources available for transactions.