Sellers allow customers to use credit cards for all of the following reasons: (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.)
a. seller does not have to decide who gets credit
b. seller accepts the risk for extending credit to customers
c. seller receives cash sooner than if credit is granted directly to the customers
d. may allow seller to increase sales volume
e. seller determines which customers receive credit and how much

When a customer uses a credit card, the bank that issued the card pays the seller immediately, and later, the bank recovers the money plus interest from the customer.

So this method allows for a faster collection of cash (basically immediatly) than if the seller granted the credit directly to the customer.

Credit cards also allow seller to increase sales volume because many people lack the cash necessary to pay down the full value of the purchase.

andromache andromache · Answer 2 · 2022-03-22T15:14:23+01:00

Sellers allow customers to use credit cards for the following reasons:

a. Seller does not have to decide who gets credit.

c. Seller receives the cash sooner than if credit is granted directly to the customers.

d. May allow seller to increase sales volume.

Usage of credit cards:

At the time when the customer used the credit card, so the payment is done immediately by the card but the bank should recovered the amount by adding the interest. Also, it permits the quicker collection of the cash.

Therefore, the above 3 statements should be correct.

And, the rest of the options are incorrect.

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