All of These Are Negative Effects of Extending Credit to Customers

question 53

Multiple Choice

All of these are negative effects of extending credit to customers EXCEPT:

• A)it delays the receipt of cash.
• B)it creates a borrowing situation for the owners of the business providing credit.
• C)some customers with credit will not pay.
• D)it increases the cost of selling.

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Definitions:

Management Function

Activities involved in the planning, organizing, leading, and controlling of an organization's resources to achieve its objectives.

Fruit Spreads

A food product made by cooking fruit with sugar until it becomes thick, used as a topping or filling.

Organic

can refer to substances derived from living organisms, practices in farming without synthetic chemicals, or structures that develop naturally without strict planning.

Informational Roles

The category of roles that involve collecting, processing, and disseminating information in the context of organizational leadership and management.