Which of the Following Is Not a Benefit That an Intermediary

question 197

Multiple Choice

Which of the following is not a benefit that an intermediary is likely to provide for producer-suppliers?

• A) reduce credit risk
• B) reduce the need to store inventory
• C) reduce the need for marketing research
• D) reduce the need for working capital
• E) All of these are likely benefits provided to suppliers.

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Definitions:

Cash Payments

Financial transactions involving the transfer of cash from one party to another, typically as a form of payment for goods, services, or expenses.

Noncash Investing

Investment activities that affect the long-term assets of a company but do not result in cash outlays in the immediate term.

Financing Activities

Transactions that involve raising funds to finance the company's operations and expansions, such as issuing stocks or bonds.

Investing Activities

Transactions involving the purchase or sale of long-term assets and investments not included in cash equivalents.