What does the amount of trade credit available to a new company depend on?
A) size of the company
B) industry the company is in
C) confidence the supplier has in the company
D) personal collateral the owner of the company pledges

Question

Quizplus · Accepted Answer

The amount of trade credit available to a new company depends on the confidence the supplier has in the company. Since the company is new, it is unlikely to have a credit history or personal collateral, which makes those options less relevant. The size of the company and industry it is in may also play a role, but they are secondary factors to the supplier's confidence in the company.

What Does the Amount of Trade Credit Available to a New