Which of the Following Is Not Correct

question 32

Multiple Choice

Which of the following is not correct?

• A) a more aggressive collection policy will reduce bad debt expenses, but may also decrease sales.
• B) collection policy usually has little impact on sales since collecting past-due accounts occurs only after the customer has already purchased.
• C) typically a firm will turn over an account to a collection agency only after it has tried several times on its own to collect the account.
• D) a lax collection policy will frequently lead to an increase in accounts receivable.
• E) collection policy is how a firm goes about collecting past-due accounts.

---

Definitions:

Population

The total number of people living in a particular area, country, or the world, or a specific group of individuals within a larger community.

Randomly

Without a specific pattern, purpose, or objective; happening by chance.

Without Bias

an approach or stance that is impartial, fair, and not influenced by personal or societal prejudices.

Open Questions

Open Questions are designed to encourage a full, meaningful answer beyond a simple yes or no, often facilitating deeper discussion or understanding.