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प्रश्न
Briefly explain the following source of finance:
Trade Credit
उत्तर
Trade credit is credit granted by suppliers to clients for the purchase of goods and services. Short-term financing enables companies to purchase goods or services on credit with a set payback time. Trade credit provides interest-free financing, allowing the company to use the goods or services before making the payment. Many organisations rely on it for working capital, enabling effective cash flow management.
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संबंधित प्रश्न
Trade Credit
‘Trading on equity’ means use of _____________ capital for financing a firm.
(a) equity shares
(b) preference shares
(c) borrowed.
Write a word or terrn or phrase which can substitute each of the following statements :
Portion of the profits which is allocated to the shareholders.
Select the correct answer from the possible choices given below and rewrite the statement:
The _______ concerns can acquire funds from various sources.
______ is also known as mercantile credit.