Which of the following will affect the length of the period of credit granted to customers?

Question

Quizplus · Accepted Answer

All three factors listed (degree of competition within the industry, bargaining power of particular customers, and typical credit terms operating within the industry) can affect the length of the period of credit granted to customers. If competitors are offering longer credit terms, a business may need to match or exceed those terms in order to remain competitive. Similarly, if a particular customer has significant bargaining power, they may be able to negotiate longer credit terms than other customers. Finally, typical credit terms within the industry may also influence the length of credit terms offered to customers.

Which of the Following Will Affect the Length of the Period