When Cal Went to Purchase a New Filter for His

question 67

Multiple Choice

When Cal went to purchase a new filter for his aquarium,he noticed that the pet shop offered a 10% discount for patrons who paid in cash.Why would the pet store make this offer?

• A) To decrease its accrued liabilities
• B) To decrease its liquidity
• C) To ease the financial burden of accounts receivable
• D) To increase its fixed assets
• E) To increase its inventory turnover