Companies sometimes convert receivables to cash before they are due by selling them or using them as security for a loan. The reasons that a company may convert receivables before their due date include:

Answers

Answer 1

The reasons that a company may convert receivables before their due date include: To reduce risk of nonpayment and to quickly generate cash.

What is account receivable?

Account receivable can be defined as the money or cash a company is yet to receive for selling goods and services to their customers or vendors.

The reason why companies tend to convert their receivable into cash  is to decrease the risk of nonpayment by the customers owing them as well as to quickly generate revenue.

Inconclusion  company may convert receivables before their due date include: To reduce risk of nonpayment and to quickly generate cash.

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Answer 2

Answer:

- The company does not want to deal with collecting receivables

- The company needs cash

Explanation:


Related Questions

A pack of 24 pencils is more expensive than 12 pencils, but why could buying the 24 pack be the better deal?.

Answers

Answer:

There may be a lower price per pencil and it will last longer

Explanation:

Answer:

The price of each pencil, or the unit price, is actually cheaper in the 24 pack.

Explanation:

Mario was laid off two months ago. He has not searched for other work because he is expecting to be recalled to work. In the U.S. labor force statistics Mario is counted as

Answers

Answer:

Not much information to go off

Explanation:

This is hard to answer since there is no information about the state of the economy. If the economy is doing poor and that is his reason for unemployment, he is cyclically unemployed.

If he is just waiting for his job, he is frictionally unemployed because he is between jobs.

If you are not looking for a specific type of unemployment, he could be classified as not part of the labor force as he is not looking for a job.

True or False: The production function becomes steeper as the number of hours spent fishing increases.

Answers

It is true that the production function becomes steeper as the number of hours spent fishing increases.

What is production function?

Production function is what relate physical output of a production process to physical inputs or factors of production.

It should be noted that at higher levels of production, firms require fewer inputs to increase production by the same amount.

Hence, It is true that the production function becomes steeper as the number of hours spent fishing increases.

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The type of unemployment most likely to result in hardship for the people who are unemployed is.

Answers

Answer:

The correct answer is probably B.

Explanation:

The correct answer is probably B because structural unemployment requires retraining to acquire new job skills.

All powder laundry detergent is packaged in small 2 oz. packets so it will be more affordable for low-income consumers. All detergent convenience packets are small enough to be sold in vending machines to make them handy for students on a tight budget living on campus. This is an example of:________.
a. age segmentation
b. ethnic segmentation
c. gender segmentation
d. income segmentation

Answers

d. income segmentation

The packaging for the laundry detergent is being improved upon for the benefit of “low-income consumers” and “tight budget” students. Therefore, the answer would be relative to income.

Greg eats pizza every day of the week. The marginal utility of pizza will most likely ________ by the end of the week, and all else being equal, this demonstrates the law of ________.

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Answer:

Greg eats pizza every day of the week. The marginal utility of pizza will most likely decrease by the end of the week, and all else being equal, this demonstrates the law of diminishing marginal utility .

What are the three functions performed by intermediaries in a marketing channel?.

Answers

Some of the functions performed by intermediaries in a marketing channel includes:

a physical distribution of goodsinventory storagesorting of goods.

What is a marketing channel?

Its refers to the way at which distribution of goods takes place from manufacturer to the final consumers.

Who are the intermediaries in a marketing channel?

An intermediaries means the people actively involved in the distribution of goods or services to the consumer and they includes agents, wholesalers, distributors, retailers etc

In conclusion, the function that includes a physical distribution of goods, inventory storage and sorting of goods are performed by intermediaries in a marketing channel.

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If a company moves ownership of activities closer to the end customer, such as providing after-sales support, it is engaging in ______ vertical integration.

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A company is engaging in forward vertical integration when it transfers ownership of activities closer to the end customer, such as providing after-sales support.

What is forward vertical integration?

It is a strategy related to increasing control over your products and services by performing greater supply chain management through acquisition or business merger.

Therefore, through forward integration, a company can acquire other companies that were once its suppliers to gain competitive advantage and increase its market power.

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The Shoe Company had a $5,000 beginning balance in its inventory account. During the accounting period, inventory purchases amounted to $55,000. The ending inventory balance was $4,000. Based on this information, the cost of goods available for sale was ______.

Answers

Answer:

46,000 I substrate it with 5,000 and 4,000

The cost of goods available for sale was $56,000. "Cost of sales" or its abbreviation, "COGS," are other names for the cost of goods sold. The cost of items that are manufactured or bought, then sold, is referred to as COGS.

Why is it important to track COGS?

COGS can be used to calculate a company's gross earnings or bottom line. A high cost of products sold could result in a low net income. A high COGS would indicate higher business expenses during tax season, lowering income taxes.

Given,

Opening stock = $5,000

Closing stock = $4,000

Purchase = $55,000

Required to Calculate COGS =?

COGS = Opening Stock + Purchase - closing stock

COGS = 5,000 + 55,000 - 4,000

COGS = 56,000

The cost of goods sold (COGS), which includes the cost of labor, materials, and manufacturing overhead, is the price of purchasing or producing the things that a business sells over a given period. As a result, only costs directly related to the production of the goods are included in the metric.

Thus, the cost of goods available for sale was $56,000.

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During _____, an advertising researcher would be most likely to use aided recall, sales tests, and inquiry tests.

Answers

Answer:

Creative concept research

Explanation:

Hope this helps

Some economists believe that sound fiscal and monetary policy can reduce the amount of time the economy is in the ____ stage of the business cycle.

Answers

Answer:

recession

Explanation:

The fifth step of the financial planning process is to create and implement the financial action plan. What is involved in this process

Answers

Answer:

Developing an action plan that identifies ways to achieve your financial goals.

Sophia used the Consumer Reports website to research an economical choice for a new washer and dryer for her apartment, and she trusted the information because the website was not affiliated with the sellers of these products. This is an example of which type of information source in the purchase decision process

Answers

The public source of information is used in the purchase decision process by Sophia.

What is a public source of information?

A public source of information refers to a source of information of a non-confidential nature that are publicly available for all.

The public source of information are access through:

internet search means.information service subscription.materials created and sent to members of the public.

In conclusion, the public source of information is used in the purchase decision process by Sophia.

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Javier, the owner of Javier's Tacos, has noticed that residents of his town are flocking to a new taco truck in increasing numbers. After doing some research, Javier learns that consumers enjoy the food truck because almost all the taco ingredients are locally sourced. Javier decides to add locally sourced ingredients to his menu. This is an example of ______.
A. substitution
B. direct imitation
C. resource immobility
D. a value chain

Answers

Answer:

a is the answer to your question

Can someone give me any made up company name that I can use because I need some help with creating my business name for my project that I am currently working on. So I'd really love if you could help. Thank you and hope you all doing great.​

Answers

fueled bright that should be the company name :)

The Nickells Advertising Agency assigns a team of individuals to work on a client's advertising campaign. When the project is completed, each of the team members will be assigned to new teams pulled together for new campaigns. The Nickells Advertising Agency has a __________ structure.
a. functional.
b. matrix.
c. divisional.
d. network.

Answers

according to my knowledge it is B

Even though John is a very skilled and talented auto mechanic, his repair shop still failed due to his lack of skills in finance, marketing, customer service, and employee management. This common scenario is known as:______.

Answers

Answer:

so I have to rip off my

Explanation:

hi all you have to put it up for me now so that we can do it properly

A small number of lizards from a mainland population have been deposited on four isolated islands because of the effects of a rare strong storm. Which of the following best predicts the outcome of these lizards reproducing for many generations on the islands?
a. Courtship rituals specific to each island lizard species prevent the lizards from interbreeding.
b. Speciation results from bottleneck events that happened before the ancestral species reached the islands.
c. The different species that currently exist are the result of hybridization between lizards from different islands.
d. The isolation prevents gene flow; thus, the lizards on different islands experience prezygotic isolation.

Answers

The isolation prevents gene flow; thus, the lizards on different islands experience prezygotic isolation.

What is reproduction isolation?

Reproduction isolation is the inability of related species to breed due to geographical or genetic differences

Prezygotic isolation is a type of isolation that occurs before the formation of a zygote can take place. Examples are behavioral and temporal isolation.

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The controllable variables the company puts together to satisfy a target group are referred to as the:

Answers

puts together to satisfy a target group is called the Marketing mix. The marketing mix refers to the set of actions, or tactics, that a company uses to promote its brand or product in the marke

Which one of the steps in the selling process was represented when the insurance consultant reviewed the insurance package he had prepared with the customer

Answers

Answer:

prospecting is the first selling proses

50 Points
What kind of relationship is displayed in the supply curve? The supply curve depicts that the
A. price
B.quality
C.quantity
and supply have a/an
A.indirect
B. direct
C. lagging
relationship.

Answers

Answer:

either A, C ( unless this is multiple choice then both.)

Explanation:

The supply curve depicts the supplier's positive relationship between price and quantity.

The supply curve is displayed in the relationship between the cost of goods and the quantity supplied. Therefore option C is correct.

What is a Supply chain?

A supply chain is a group of people and businesses responsible for producing a product and getting it to the consumer. The raw material producers are the first links in the chain, and the last is the van that delivers the final product to the customer.

Every step taken to provide a finished good or service to the consumer is included in the supply chain. A distribution center or retail location may be where the final items are delivered to the customer once the raw ingredients are sourced, moved to manufacture, and transported there.

When a company receives a client order, the supply chain gets going. Product development, marketing, operations, distribution networks, financing, and customer service are therefore among its core duties.

Effective supply chain management may reduce a company's total expenses and increase profitability. It can be expensive and have an impact on the remainder of the chain if one link fails.

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True or false: Under no circumstances will a shareholder who has shares redeemed be able to treat the stock redemption as an exchange unless the shareholder meets the bright line change-in-stock-ownership tests.

Answers

Answer:

False

Explanation:

The not essentially equivalent to a dividend test is still available

When money loses some of its value over time it is caused by:.

Answers

The impact inflation has on the time value of money is that it decreases the value of a dollar over time. The time value of money is a concept that describes how the money available to you today is worth more than the same amount of money at a future date.

Which of the following team members would not be involved in the design of gameplay?

Answers

you forgot to add a photo/ comment!

An externality is: a. always a benefit to the recipient. b. always a detriment to the recipient. c. an activity that occurs in a business which is unknown to management. d. unintended benefits or costs imposed on third parties as a result of economic activity. e. an act, caused by a firm located in this country, which has an effect on a person in a foreign country.

Answers

Answer:

D

Explanation:

How can you get your money back if you send a p2p payment to the wrong person?.

Answers

When a payment is sent to the wrong person using p2p, the money cannot be gotten back since it is equivalent to giving money to a wrong account. However, the person can lay a complaint to the customer service to take action.

What is P2P Payment?

P2P payment is a system of payment where money is sent to another member of the crypto community in exchange for a coin to be sent to the individual's wallet. It is equivalent to giving someone cash.

When a user mistakenly sends money to the wrong person, the money cannot be gotten back. But if the sender has the details of the wrong receiver, an appeal can be made for the money to be reversed. However, if this is not the case, then the money would have to be forfeited.  

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When flow rate goes up but wages per unit of time stay the same, how are costs of direct labor affected? Multiple choice question.

Answers

The answer is A and B

How many hours can you work part-time and still collect unemployment?.

Answers

Answer: To be eligible for partial benefits, you must work at least 80% of the hours required for the employment. If you worked a 40-hour week, for example, you won't be eligible for benefits if you work more than 32 hours.

Explanation: See above.

Have a good day.

Use the _____ function to determine information such as how much money can be earned in an investment with a specific interest rate and over a specific period of time.

Answers

The Future value function is used to determine information such as how much money can be earned in an investment with a specific interest rate and over a specific period of time.

What is future value?

The future value is what money invested today will become over time at a rate of interest. It can be used to determine the future value of a lump sum or a specified amount.

It is to be noted that the FV function calculate the future value of a series of equal payments or an annuity.

Hence, the Future value function is used to  determine information such as how much money can be earned in an investment with a specific interest rate and over a specific period of time.

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Kelsey and Jerrod have a housing ratio of 30% and a total debt obligation of 41%. Their credit score is 640. Do they meet the underwriting requirements for an FHA loan

Answers

Based on Kelsey and Jerrod's total debt obligations, housing ratio, and credit score, They meet the underwriting requirements of an FHA loan.

What are the underwriting requirements of an FHA Loan?

The applicants must have a credit score of above 500. They must also have a total debt obligation of 43% or less and a housing ratio of not more than 31%.

Kelsey and Jarrod have the required credit score, total debt obligation and housing ratio so they meet the requirements.

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