A primary reason firms sell on credit is to maintain their clients and also to move their stocks. These is one of the strategies of releasing revenue by an organization.
Bad credit will generally mean that car insurance cannot be purchased on a monthly pament plan. Although some firms will give this option they will charge higher fees. Most firms will still sell you insurance.
Retailers are firms that sell directly to the consumer, wholesalers are the firms that supply the retailers goods to sale to the consumers.
There is no reason you should give anyone your credit card info to sell and old cellphone. It sounds like someone is trying to scam you.
The product market is the market in which firms sell their output of goods and services.
Sundry debtors means the debtor to whom goods are sold on credit for various reason not merely goods sell on credit.
Quantity supplied is the amount that firms will produce and sell at a specific price.
Well, trade credit would be credit extended by suppliers (I guess). So, if in fact it is the largest source of short term credit, it would be because it is easier to get credit from people that want to sell you something than from someone that lends money (the potential profit warrants the risk).
The general willingness of firms to produce and sell a product at various prices is known as supply.
Economists call the things that firms sell which cannot be touched or seen goods and services.
Consider an economy consisting of households and firms which interact in two markets i.e. the goods and services market in which firms sell and households buy; and the labor market in which households sell labor to business firms or other employees. Required: Illustrate the above economy on a diagram
This allows firms to charge higher prices for their specific product.
so they can have a bigger profit margin