What event is most likely to have a negative impact on the Accounts Payable days and a positive impact on profits? a. Supplier tightens terms. b. Use supplier discounts. c. Controller slows payments. d. Interest rate increases.
Added by Aaron W.
Close
Step 1
A lower number of Accounts Payable days indicates that a company is paying its suppliers more quickly, while a higher number indicates that a company is taking longer to pay its suppliers. On the other hand, profits refer to the financial gain or benefit that a Show more…
Show all steps
Your feedback will help us improve your experience
Akash M and 66 other Principles of Accounting educators are ready to help you.
Ask a new question
Labs
Want to see this concept in action?
Explore this concept interactively to see how it behaves as you change inputs.
Recommended Videos
The company receives cash from a bank loan. - The liability account would do the following: Question options: A. Increase B. Decrease C. No effect
Haricharan G.
An increase in which one of the following will increase a firm's quick ratio without affecting its cash ratio? A. accounts payable B. cash C. inventory D. accounts receivable E. fixed assets
Akash M.
Recommended Textbooks
Horngren’s Cost Accounting
Cost Accounting A Managerial Emphasis
Principles of Accounting Volume 1: Financial Accounting
Transcript
18,000,000+
Students on Numerade
Trusted by students at 8,000+ universities
Watch the video solution with this free unlock.
EMAIL
PASSWORD