A company's trade credit decision is largely set by all of the following criteria except
A)the nature of the product sold.
B)the industry the firm operates in.
C)the company's profitability.
D)competitors' credit policies.

Question

Quizplus · Accepted Answer

The company's profitability may influence its ability to extend credit to customers, but it is not a criteria that is considered when making trade credit decisions. The other criteria listed are commonly used by firms when determining their credit policies.

A Company's Trade Credit Decision Is Largely Set by All