If a firm typically chooses to stretch its accounts payable their supplier may demand COD or CBD in future.

Name: If a firm typically chooses to stretch its accounts payable their supplier may demand COD or CBD in future.
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Question

Quizplus · Accepted Answer

If a firm continuously stretches its accounts payable, it may harm the relationship with its suppliers. The suppliers may demand COD (cash on delivery) or CBD (cash before delivery) in the future to ensure timely payment.

If a Firm Typically Chooses to Stretch Its Accounts Payable