All else the same, it is likely that firms with (1) excess capacity, (2) low variable costs, and (3) repeat customers will extend credit more liberally than others. Why?

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The Answer of All else the same, it is likely that firms with (1) excess capacity, (2) low variable costs, and (3) repeat customers will extend credit more liberally than others. Why?

All Else the Same, It Is Likely That Firms with (1)