Ask Question
2 March, 01:12

To efficiently manage its working capital, DM Pharma Inc. has a business arrangement with the suppliers of its raw materials, packaging material, and machinery. These suppliers allow DM Pharma Inc. to take possession of the required goods and services and pay for them later or in installments. In this scenario, DM Pharma Inc. has obtained funding in the form of?

Trade credit.

+2
Answers (1)
  1. 2 March, 02:44
    0
    Trade credit

    Explanation:

    The trade credit is a business term which is use to purchase the product and services on immediately basis and the payment is made on a later date. It does not involved any cash transactions during delivery of material or products

    So as per the question, the Suppliers enable DM Pharma Inc. to take possession of and pay for the necessary products and services at a later date or in installments which reflect the use of trade credit.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “To efficiently manage its working capital, DM Pharma Inc. has a business arrangement with the suppliers of its raw materials, packaging ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers