Net credit position refers to:
A) the difference between receivables and payables.
B) the difference between receipts and disbursements.
C) the average collection period.
D) the average payment period.

Question

Quizplus · Accepted Answer

Net credit position refers to the difference between receivables and payables, so option A is the correct answer. Option B refers to cash flow, while options C and D refer to measures of accounts receivable and accounts payable management, respectively.

Net Credit Position Refers To