One of the Benefits of Establishing a Formal Credit Policy

question 23

True/False

One of the benefits of establishing a formal credit policy for granting credit is that management does not need to perform monitoring of accounts receivable.

---

Definitions:

Recurrent Behaviors

Repetitive actions often performed with little conscious thought, which can be part of routines, habits, or compulsions.

Social Phobia

A severe anxiety disorder characterized by a significant amount of fear in one or more social situations, causing considerable distress and impaired ability to function in at least some parts of daily life.

Extreme Fear

An intense and overwhelming sense of dread or terror, often without a clear or rational source.

Humiliated

A feeling of shame or embarrassment often resulting from being made to appear foolish or incompetent.