Florida General Contractor Exam 2025 – 400 Free Practice Questions to Pass the Exam

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What do cash sales typically include?

Sales made on credit

Immediate customer payments

Cash sales typically include immediate customer payments, which signifies that the transaction occurs at the moment of sale. In a cash sale, customers pay upfront using cash, credit cards, or other immediate payment methods, ensuring that the business receives funds instantly. This contrasts with other types of sales that involve credit, where the customer pays after a certain period, or where revenue is recognized over time due to payment agreements. Immediate payment is essential for cash flow management in a business, allowing for quick reinvestment and operational financing. By understanding that cash sales mandate prompt payment, one can appreciate how they contribute to a business's liquidity and financial health.

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Delayed revenue recognition

Invoices opened for future payments

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