Slow-paying customers
A) almost always build goodwill.
B) are rarely a problem for small businesses.
C) tie up the seller's working capital.
D) yield advantages from carryover effects.

Question

Quizplus · Accepted Answer

Slow-paying customers can tie up a seller's working capital as they delay payment for goods or services received. This can be especially problematic for small businesses with limited financial resources. While there may be some benefits from carryover effects (such as repeat business), these are generally outweighed by the negative impact on cash flow. Slow-paying customers do not almost always build goodwill and can be a significant problem for small businesses.

Slow-Paying Customers