Avery Is Thinking About Using the Computer to Do His

question 8

Multiple Choice

Avery is thinking about using the computer to do his investing. To justify using a computer instead of using telephone orders to buy and sell stock, he should consider all of the following except

• A) His ability to manage his investments closely
• B) Whether he is an active investor or not
• C) The size of his investment portfolio
• D) None of these are appropriate.
• E) A, B, and C are appropriate considerations.

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Definitions:

Accounts Receivable

Money owed to a business by its clients or customers for goods or services delivered but not yet paid for.

Credit Sales

Transactions where goods or services are sold and delivered, but payment is deferred to a later date, creating receivables for the seller.

Factors Receivables

The process of selling accounts receivable to a third party (factor) at a discount in exchange for immediate cash.