Credit policy requires establishing
A) the optimal level of inventory
B) the terms of enforcement
C) the minimum level of inventory
D) the average collection period

Question

Credit policy requires establishing​
A) the optimal level of inventory​
B) ​the terms of enforcement
C) ​the minimum level of inventory
D) ​the average collection period

Quizplus · Accepted Answer

Credit policy primarily deals with the terms of enforcement, such as payment due dates, late payment penalties, and credit limits for customers. While inventory management may be related to credit policy, it is not the primary focus. The minimum level of inventory and average collection period are also not directly related to credit policy.

Credit Policy Requires Establishing​

Credit Policy Requires Establishing