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In each the following pairings, indicate which firm would probably have a longer credit period and explain your reasoning. Respond to only one pairing.

a. Firm A sells a miracle cure for baldness and Firm B sells toupees.

b. Firm A specializes in products for landlords; firm B specializes in products for renters.

c. Firm A sells to customers with an inventory turnover of 10 times; firm B sells to customers with an inventory turnover of 20 times.

d. Firm A sells fresh fruit; firm B sells canned fruit.

e. Firm A sells and installs carpeting; firm B sells rugs.

Operation Management, Management Studies

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  • Reference No.:- M91907442

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