By Centralizing Affiliate Credit Policy and Monitoring Collection Performance,parents Companies

question 17

Multiple Choice

By centralizing affiliate credit policy and monitoring collection performance,parents companies can do all of the following but NOT

• A)reduce the investment in receivables
• B)reduce foreign exchange and other transaction costs
• C)reduce banking fees
• D)increase the rate of return on new subsidiary projects

---

Definitions:

Excess Inventory

Inventory levels that exceed the demand, often resulting in wasted resources and storage costs.

Manufacturing Capacity

The maximum amount of products that can be produced in a given period of time using available resources in a manufacturing facility.

Agility

The ability to move quickly and easily, often used in organizations to describe the ability to adapt rapidly to market changes or challenges.

Forecasts

Predictions about future conditions or occurrences, often based on statistical analysis or current trends.