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A new enterprise earned a profit in the first month but all customers purchased on credit. What is the most appropriate conclusion about this success?

Answer and explanation

Correct answer: लाभ के बावजूद नकदी प्रवाह का जोखिम बना रह सकता है

Accounting profit records revenue when it is earned according to the accounting method, while cash flow records when money is actually received and paid. Credit sales may show profit but leave the enterprise without cash for wages, inventory, or bills. Credit is not always harmful, yet delayed collection creates liquidity risk.

Related tags

Cash FlowCredit SalesIntroduction To EntrepreneurshipEntrepreneurial Skills IArtificial IntelligenceClass 9 Mcq

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