Asked by ????????? ?????? on Jul 01, 2024
Verified
Which items does a firm's credit policy consist of?
A) credit period, cash discounts, credit standards, receivables monitoring
B) credit period, cash discounts, credit standards, collection policy
C) credit period, cash discounts, receivables monitoring, collection policy
D) cash discounts, credit standards, receivables monitoring, collection policy
Credit Policy
The guidelines a company follows to determine the amount of credit to extend to customers and the terms of payment.
Credit Period
The time frame allowed by a seller for a buyer to pay for goods or services received, typically measured in days or months.
Receivables Monitoring
The process of overseeing and managing the amounts owed to a company by its customers for goods or services provided.
- Understand how various credit policy factors influence a company's cash flows and client behavior.
Verified Answer
Learning Objectives
- Understand how various credit policy factors influence a company's cash flows and client behavior.
Related questions
Which of the Following Is NOT Commonly Regarded as Being ...
Which One of the Following Managers Is Most Likely in ...
Your Firm Decides to Increase the Time Allowed Customers to ...
A ______________ Factor of Credit Policy Effects Occurs When a ...
Of the Following, a Firm _______________ Will Likely Have the ...