Question

The credit facility allowed by the Marketing Society to the Wholesale buyer of the marketing Society, for a period of 10 to 15 days for purchasing the produces.

• A. Bank Overdraft
• B. Installment Credit
• C. Trade Credit
• D. Consumer Credit

Answer 1

Answer:

C. Trade Credit

Trade Credit:

• Trade Credit is the credit facility allowed by the Marketing Society to the Wholesale buyer of the marketing Society for a period of 10 to 15 days for purchasing the produces.
• If the whole sale buyer fails to pay that amount with in that time, he will be enrolled as a nominal member.
• AIRCSC says that the Trade Credit facility is often abused by the wholesalers and it increases the overdue level of the Marketing Society