If You Delay Paying Your Suppliers by an Additional Ten

question 114

Multiple Choice

If you delay paying your suppliers by an additional ten days, then:

• A)your payables turnover rate will increase.
• B)you will require less bank financing of your operations.
• C)the cash cycle will increase by ten days.
• D)your operating cycle will lengthen by ten days.
• E)your stock-out costs will rise.

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Definitions:

Act Consequentialism

A moral theory that assesses the morality of actions based on their outcomes or consequences.

Act Consequentialism

An ethical theory that judges the moral worth of an action based solely on the outcomes or consequences of that action.

Case-by-case Basis

An approach to decision-making that involves evaluating each situation individually rather than applying a general rule.

Commit Perjury

The act of lying or making verifiably false statements under oath in a legal proceeding, which is a criminal offense.