A Customer Has Ordered Goods Generating a Present Value of $2,000

question 55

Multiple Choice

A customer has ordered goods generating a present value of $2,000. The present value of production costs is $1,800. Under what conditions should you extend credit if there is no possibility of repeat orders?

• A)If the probability of payment exceeds 0.67
• B)If the probability of payment exceeds 0.75
• C)If the probability of payment exceeds 0.80
• D)If the probability of payment exceeds 0.90

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Definitions:

Existing Position

A job role that is currently filled or established within an organization.

Human Resources

The department within an organization that deals with the hiring, administration, and training of personnel.

Screening Job Candidates

The process of evaluating potential employees to determine their suitability for a particular position.

Recruitment Advertising

Utilizing different media platforms to post job openings aimed at attracting a wide range of candidates; a rephrased definition for Employment Advertising.