Both consignment purchases and memorandum purchases enable a retailer to ________.
A) lower insurance costs
B) improve cash flow
C) reduce inventory levels
D) increase information flows

Question

Quizplus · Accepted Answer

Both consignment and memorandum purchases allow retailers to pay suppliers only after the goods are sold, thus improving cash flow by reducing the need for upfront capital.

Both Consignment Purchases and Memorandum Purchases Enable a Retailer to ________