The Set of Rules That Determines Whether or Not Credit

question 12

Multiple Choice

The set of rules that determines whether or not credit should be extended is known as:

• A) credit analysis.
• B) credit policy.
• C) multiple discriminate analysis.
• D) the terms of trade credit.

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Definitions:

Quantity of Labor Supplied

The total hours that workers are willing and able to work at a given wage rate, in a given period.

Wages

Compensation given to workers for their work or efforts, usually determined based on the hours worked, per day, or per task completed.

Excise Tax

A tax levied on certain goods and commodities produced or sold within a country and on licenses granted for certain activities.

Supply Curve

A graphical representation of the relationship between the price of a good and the quantity of the good that suppliers are willing to offer for sale at each price level.