The Three Major Elements in a Firm's Credit Policy Are

question 4

True/False

The three major elements in a firm's credit policy are (1)credit standards, (2)credit terms,and (3)collection policy.

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Definitions:

Truth-in-Lending Act

A legislation at the federal level aimed at encouraging the knowledgeable use of consumer credit through mandated disclosures regarding its conditions and expenses.

Reasonable Rate

A fair or acceptable price or cost for goods, services, or obligations, often influenced by market conditions or regulation.

Federal Reserve Board

The governing body of the Federal Reserve System, responsible for overseeing the United States' monetary policy and regulating banks.

Deceptive Trade Practices

Unfair business practices that mislead or deceive consumers, usually regulated by laws to protect consumer rights.