If a firm's suppliers stop offering discounts, then its use of trade credit is more likely to increase than to decrease other things held constant.
Answer the following statement true (T) or false (F)
True
You might also like to view...
At the end of 2016, Clock Products, Inc determined that one of its patents was worthless. The patent had a cost of $300,000 . The patent had been amortized for 5 years of its estimated 15-year legal life. Which of the following statements is correct?
a. Clock Products must continue to amortize the patent over its remaining 10 years of life. b. The patent must be reduced to 5/15, or 33.3% of its original cost and amortized over the remaining 10 years. c. The remaining unamortized cost must be removed from the accounting records and treated as a loss on the income statement. d. Clock Products must correct its financial statements for the past five years, so that the entire cost is allocated to that five-year period.
Which of the following is correct with regard to "par value"?
a. It indicates the worth of the stock at issue. b. It is the minimum price at which the corporation may sell the stock at issuance. c. It represents the maximum price at which the stock may be sold at issuance. d. It represents the amount for which the stock must be traded.
If an investor purchased $15 million principal of this security and, in some month, the cash flow available to be paid to the security holders (after all fees are paid) is $12 million, how much is the investor entitled to receive?
What will be an ideal response?
The higher the insurance coverage, the more the policyholder can gain from risky activities that make an insurance payoff less likely
Indicate whether the statement is true or false