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Question
As an external stakeholder, what interest would a company's supplier have in a company?
Options
The supplier would want to be paid for the purchases made by the company on a timely basis.
The supplier would want to know that employees will continue to have jobs.
The supplier would want to know how much it will receive in dividends.
The supplier would want to know how much it will make from its investment.
Solution
The supplier would want to be paid for the purchases made by the company on a timely basis.
Explanation:
Suppliers are concerned primarily with the financial stability and payment practices of the company they supply to. They want to ensure that they receive timely payments for the goods or services provided, which impacts their cash flow and financial health.
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| Column - I | Column - II | ||
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