Business A-Level
credit terms
What credit terms means in Business A-Level, as defined for AQA.
Definition of credit terms
Check what you remember
Read the wording for your board, then hide it and explain credit terms in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
The terms on which customers take time to pay and suppliers must be paid, which quantify the gap between cash inflows and outflows.
Topics that use credit terms
- Analysing financial performance (AQA A-Level)
Related terms
- break-even output
- cash flow forecast
- contribution per unit
- contribution squeeze
- data reliability
- forecast risk
- gross profit margin
- linearity assumption
Using credit terms in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
Practise Business questions
Create a free account to answer exam-style questions on this topic and get feedback on your answers.
Start free
All Business A-Level termsA week of Premium from your first lesson · Then the free plan continues · No card, no charge