Paying off suppliers too early or too late can affect cash flows and hence performance of the supply chain.

Name: Paying off suppliers too early or too late can affect cash flows and hence performance of the supply chain.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Paying off suppliers too early can hurt cash flow by leaving the company with less money on hand. Paying them too late can damage relationships and lead to late fees and interest charges. Both scenarios can have a negative impact on the performance of the supply chain.

Paying Off Suppliers Too Early or Too Late Can Affect