Hire purchase is advantageous to the seller in that
-
A.
it elevates his living standard -
B.
his turnover will increase -
C.
people pay on installment -
D.
it enhances high level of patronage
Correct Answer: Option B
Explanation
Advantages of hire purchase to seller.
- Increases sales and thus profits.
- It encourages impulse buying.
- They get commission from Finance Houses.
- Insurers good during the Hire Purchase period.
- The seller has the right to repossess the goods if the buyer defaults on payment.