Which of the Following Statements Is FALSE

question 35

Multiple Choice

Which of the following statements is FALSE?

• A)The lower the discount percentage offered,the greater the cost of forgoing the discount and using trade credit.
• B)A firm should choose to borrow using accounts payable only if trade credit is the cheapest source of funding.
• C)A firm should always pay on the latest day allowed.
• D)A firm should strive to keep its money working for it as long as possible without developing a bad relationship with its suppliers or engaging in unethical practices.

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Definitions:

Labor Costs

The total sum of all compensation paid to employees, including wages, benefits, and taxes, considered an expense for the employer.

Sales Value

The total revenue generated through the sale of goods or services, representing an important metric for business success.

Set Standard

The establishment of specific criteria or benchmarks that must be met for the performance of tasks or quality of products.

Team Award

A team award is a recognition given to a group of individuals for their collaborative efforts in achieving a specific goal or completing a project.