Why do you think businesses extend credit to customers thereby creating accounts receivable?

Q: Loan structuring is the process of designing a loan to satisfy the financing demands of a business…

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Q: Sales to customers who use bank credit cards such as MasterCard and VISA are usually recorded by a…

A: Sales: It is an activity involved in selling goods or services.

Q: What methods can be used by small businesses to speed the collection ofmoney that is owed to them?

A: There are a number of methods that can be used by small businesses to speed the collection of money.

Q: If a customer pays with a credit card and the service has been provided, which of the following…

A: When a customer pays at a shop by Credit card, there incur Credit Card Expenses. The company of the…

Q: what makes credit important to the business?

A: Credit can be the amount of money a business can borrow or can be termed as the ability of that…

Q: How do sellers benefit from allowing their customers to use credit cards?

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Q: Payables and Receivables. As a financial manager, would you prefer that the accounts payable period…

A: The longer the period one can wait to make payment for the inventory, the longer will be the A/P…

Q: indicators that a company is doing an effective job at managing accounts receivable

A: Accounts receivable is the earnings of the company for which the payment has not been made by the…

Q: do we need to check   the credit worthiness of credit customers before granting their credit…

A: Giving credit to the business and customers is main earning sources for banks but they need to take…

Q: Is granting credit to customers good? And as a future business owner how would you handle or manage…

A: Explanation to Credit When products are sold to customers on credit and customers agree to pay the…

Q: Why is it important to keep those business receipt/record

A: Any business in any form or in any industry that is doing commerce or trade will have receipts and…

Q: Effective credit management involves establishing credit standards for extending credit to…

A: a) How a company handles its credit accounts, including methods of invoicing and collecting past-due…

Q: What are some simple ways that a small business can shorten the Accounts Receivable (A/R) cycle?

A: Account receivable refers to the amount that the business organization recovers from its customers.…

Q: Which one of the following best defines the term credit scoring?  A.  Categorizing customers…

A: The statistical tool used to analyze the performance by lenders and financial institutions so as to…

Q: How does credit scoring operate, and how are we as consumers and users of credit effected by it?

A: Credit Scoring - Credit scores are calculated with the help of the details of the old payment…

Q: Bank loans often are arranged under existing lines of credit. What is a line of credit? How does a…

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Q: Which of the following is an advantage of using a credit card? O Your spending is limited to the…

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Q: Why should cash receipts from credit clients and sales to them be instantly documented and posted?

A: Introduction: Accounting focuses on recognizing, documenting, measuring, and summarizing…

Q: How did you get Accounts Receivable and Sales?

A: Account receivable is the amount which is to be received from the customers or the customers who…

Q: How do banks use your credit reports? Sight an example to illustrate the answer

A: Answer: As per Q/A guidelines, first question has been answered. please repost remaining questions…

Q: plain why it is important for a company to keep track of how much money in discounts is given out?…

A: . Percent of cash discount since 3/15, n/45 is the credit term between the seller and buyer which…

Q: What are some benefits to a business in accepting credit cards and debit cards?

A: Debit card: Debit card is an electronic card, which allows the debit card holders to pay cash…

Q: why are accounts receivables inevitable? what advantage do selling on account offer?

A: The amount of money owing to a corporation by customers for goods or services previously provided is…

Q: Credit selection involves the application of techniques to determine which customers should receive…

A: Credit selection refers to the decision to whether the company should extend the period or the…

Q: Bookkeeping in SMEs differ from industry. How does the bookkeeping in the manufacturing industry for…

A: Solution

Q: able. b. What steps should be taken by a business to reduce/eliminate excessive inventory? Explain…

A: A cash on delivery (COD) transaction occurs when the recipient pays for an item in cash rather than…

Q: Why do businesses often offer "Sales Discounts" to their customers?

A: Sales Discounts -  Sales Discounts are the discounts given by the company to the customers. This…

Q: A credit bureau, AKA credit agencies, are companies that collect credit information about…

A: A credit bureau can be defined as a company that gathers and researches information about…

Q: Making sales using credit cards is a way a company can dispose its receivables. O True O False

A: Credit Card Sales are those sales wherein the amount is received directly by the vendor on the date…

Q: When a company decides to extend credit to consumers, it is making an investment decision in: a.…

A: A company often decides to extend credit to consumers. The decision is made on the logic that credit…

Q: What are the different types of deposit accounts and loans offered to customers by any one…

A: SOLUTION PRIMARILY , BANKS OFFERS TWO TYPES OF DEPOSIT ACCOUNTS .THESE ARE DEMAND DEPOSIT LIKE…

Q: What is the main purpose of factoring in accounts receivables? a. To meet immediate cash needs of…

A: Account receivable means the amount due from customer whom we sold the goods on credit. Factoring…

Q: Discuss the different types of banks deposits in respect to features, interest, cost, withdrawals,…

A: The question is based on the concept of different accounts offered by a bank. Bank accepts deposits…

Q: Why is it important to pay off a credit card on time

A: A credit card helps to borrow a certain amount for a definite period. Credit cards grants loan to…

Q: Effective credit management involves establishing credit standards for extending credit to…

A: The question is based on the concept of Financial Management. As per the Bartleby guidelines we are…

Q: T F When you use a debit card to make a purchase,a financial institution is extending credit to…

A: When you use a debit card to make a purchase,a financial institution is extending credit to youand…

Q: For the merchant, bank credit card sales are treated in a manner similar to? Cash Sales?

A: Cash Sales means sales made in return for consideration in the form of cash and cash equivalents…

Bookkeeping

Bookkeeping is the process of recording the financial transactions of a company on a regular basis. With the process of bookkeeping, companies can track important financial information that helps management in making crucial decisions.