"Stretching" accounts payable is a widely accepted,entirely ethical,and costless financing technique,which is particularly useful when suppliers' production plants are at full capacity .

Question

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Stretching accounts payable, which means deliberately delaying payment to suppliers beyond the agreed terms, is not considered entirely ethical. It can strain supplier relationships, potentially lead to supply chain disruptions, and may incur additional costs such as late fees or loss of favorable payment terms.

"Stretching" Accounts Payable Is a Widely Accepted,entirely Ethical,and Costless Financing