Trade credit may be used to finance a major part of a firm's working capital when
A) the firm extends less liberal credit terms than the supplier.
B) the firm extends more liberal credit terms than the supplier.
C) the firm and the supplier both extend the same credit terms.
D) neither the firm nor the supplier extends credit.

Question

Quizplus · Accepted Answer

The Answer of Trade credit may be used to finance a major part of a firm's working capital when
A) the firm extends less liberal credit terms than the supplier.
B) the firm extends more liberal credit terms than the supplier.
C) the firm and the supplier both extend the same credit terms.
D) neither the firm nor the supplier extends credit.

Trade Credit May Be Used to Finance a Major Part