Why would a supplier ask to look at the balance sheet of a new customer before extending

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Why would a supplier ask to look at the balance sheet of a new customer before extending credit? Which elements of the balance sheet would the supplier be most likely to examine?

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Financial Accounting A Decision Making Approach

ISBN: 9780471328230

2nd Edition

Authors: Thomas E. King, Valdean C. Lembke, John H. Smith

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