ACCA Applied Knowledge · Business and Technology · Stakeholders in business organisations
Which of the following is most likely to be a typical objective of a company's trade creditors (suppliers)?
Trade creditors typically want to be paid in full and on time and to keep a continuing trading relationship with the company. Dividends interest shareholders, low prices interest customers, and wages interest employees, so those options describe other stakeholder groups.
- AReceiving payment in full and on time, and maintaining a continuing trading relationshipCorrect
- BMaximising the company's dividend payments
- CObtaining the lowest possible prices from the company
- DSecuring higher wages for the company's staff
Explanation
Suppliers want prompt, full payment and continued orders from a stable customer. Dividends concern shareholders, low prices concern customers, and wages concern employees.
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