Credit granted by retailers to final consumers who purchase for personal or family use is referred to as
A) trade credit.
B) personal credit.
C) open credit.
D) consumer credit.

Question

Quizplus · Accepted Answer

Consumer credit is credit granted by retailers to final consumers who purchase for personal or family use. Choice A, trade credit, refers to credit granted by suppliers to businesses for the purchase of goods or services. Choice B, personal credit, is a broad term that could refer to any type of credit granted to an individual, including mortgages, car loans, and credit cards. Choice C, open credit, is a term used to describe a credit arrangement where the consumer has an open-ended line of credit that can be used and repaid over time, such as a credit card. However, this term is not specific to credit granted by retailers to final consumers.

Credit Granted by Retailers to Final Consumers Who Purchase for Personal