Which of the following is true when a company purchases goods using trade credit from...

Vendor: AFP
Product: CTP
Update on: Oct 21, 2025
Questions: 1076

AFP CTP Question Answer

Which of the following is true when a company purchases goods using trade credit from suppliers?

The buyer incurs no added cost if it pays on time.

The supplier will charge interest to the buyer.

The buyer should record this as a long-term liability.

The supplier places a lien on the goods sold until payment.

AFP CTP Summary

Price: $52.5 ~~$149.99~~