Advertisements
Advertisements
प्रश्न
Liberal credit policy creates a problem of bad debts.
पर्याय
True
False
Advertisements
उत्तर
This statement is True.
Explanation:
If the firm does not get a credit facility for purchases but adopts a liberal credit policy for its sales, it requires more working capital. On the other hand, if credit terms of purchases are favourable and terms of credit sales are less liberal, then the cash requirement will be less.
APPEARS IN
संबंधित प्रश्न
Match the correct pairs:
| Group 'A' | Group 'B' | ||
| (1) | Working capital | (a) | Redeemed capital |
| (2) | Equity share capital | (b) | Secretary |
| (3) | Share warrant | (c) | Shares do not have distinctive numbers |
| (4) | Recommendation of dividend | (d) | Fixed assets |
| (5) | Fungibility | (e) | The link between SEBI and Depository |
| (f) | Board of Directors | ||
| (g) | Registered document | ||
| (h) | Sum of current assets | ||
| (i) | Bearer document | ||
| (j) | Permanent capital |
Write a word or a term or a phrase which can substitute the following statement.
The excess of current assets over current liabilities.
State whether the following statement is true or false.
The business will require huge funds if assets are acquired on a lease basis.
State whether the following statement is true or false.
The business dealing in luxurious products will require huge amount of working capital.
State whether the following statement is true or false.
A firm with large scale operations will require more working capital.
Discuss the factors determining working capital requirement.
Fixed capital is also referred as circulating capital.
______ capital is used to carry out day-to-day business activities.
Distinguish between Fixed Capital and Working Capital.
Distinguish between Fixed Capital and Working Capital.
Liberal credit policy creates a problem of bad debts.
Distinguish between the following.
Fixed Capital and Working Capital
Liberal credit policy creates a problem of bad debts.
Liberal credit policy creates a problem of bad debts.
Liberal credit policy creates a problem of bad debts.
Distinguish between the following.
Fixed Capital and Working Capital
Liberal credit policy creates a problem of bad debts.
