I'SCream makes a variety of healthy alternatives to dairy-based ice cream. One of its most popular styles of ice cream utilizes avocado milk for the main ingredient. Avocados take a long time to ship, so I'SCream will often borrow money from its bank to facilitate larger orders of avocados. Which of the reasons firms borrow money does thisbest demonstrate?
A) funds for making major investments
B) funds for keeping enough product available
C) funds for extending credit
D) funds for requesting a line of credit
E) funds for managing everyday business activities

Question

Quizplus · Accepted Answer

I'SCream borrows money to ensure they have enough avocados available for production, demonstrating the need to keep enough product available.

I'SCream Makes a Variety of Healthy Alternatives to Dairy-Based Ice