Which of the Following Is Not an Improvement-Driven Reason to Outsource

question 12

Multiple Choice

Which of the following is not an improvement-driven reason to outsource?

• A)Improve risk management
• B)Increase commitment in a noncore area
• C)Acquire innovative ideas
• D)Improve control
• E)Obtain expertise,skills and technologies

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Definitions:

Credit Sales

Sales where the customer is allowed to pay for the product or service at a later date, extending credit.

Bad Debt Expense

The estimated amount of accounts receivable that is not expected to be collected.

Allowance for Doubtful Accounts

A contra-asset account used to estimate the portion of accounts receivable that may not be collectible, reflecting potential losses due to credit sales.

Uncollectible Receivables

Debts owed to a company that are considered unlikely to be paid by the debtor.