A small retail boat shop is most likely to rely on ________ to finance its inventory.
A)discounted installment contracts
B)floor planning
C)installment loans
D)trade credit

Question

Quizplus · Accepted Answer

Floor planning is a common financing tool used by retail boat shops to finance their inventory. This is because it allows the business to borrow against the value of their inventory and pay back the loan as the inventory is sold. This can be a more flexible and cost-effective financing option than traditional installment loans or trade credit. Discounted installment contracts may be used by larger retailers or manufacturers, but are less common for a small retail boat shop.

A Small Retail Boat Shop Is Most Likely to Rely