A customer who purchases a television from Ace Appliance Store and pays for it in 36 monthly payments is using:

Question

Quizplus · Accepted Answer

The customer is making payments over a period of time, indicating an installment credit purchase. Trade credit is when a business allows a customer to purchase goods and services and pay for them later, whereas charge account credit refers to a line of credit from a store that can be paid off at the end of each billing statement. Debit card credit is not a type of credit, but rather a payment method tied to a checking account.

A Customer Who Purchases a Television from Ace Appliance Store