Which One of the Following Statements Is Correct

question 19

Multiple Choice

Which one of the following statements is correct?

• A)If the majority of a firm's new customers become repeat customers then there is a strong argument against extending credit even if the default rate is low.
• B)A customer's past payment history reveals little information in relation to his or her future tendency to pay.
• C)A suggested policy for offering credit to new customers is to limit the amount of their initial credit purchase.
• D)The risk of issuing credit is the same for a new customer as it is for an existing customer.
• E)The recommended credit policy for new customers is to extend the maximum amount of credit you will ever be willing to offer as an enticement to get their business.

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A country in South Asia characterized by its diverse culture, languages, and geography, home to the second-largest population in the world.

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A country in North America, bordered by the United States to the north, famous for its rich cultural heritage, diverse ecosystems, and historical significance.

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The harnessing of the sun's energy to generate electricity or heat, using photovoltaic cells or solar thermal collectors.