Multiple Choice
Companies A and B both report net income growth of 12% per year.Company A has a receivables turnover ratio of 5.6,which is smaller than its previous year.Company B has a receivables turnover ratio of 11.3,which is higher than its previous year.All other things being equal:
A) Company A appears to be better managed.
B) Company A will have the lower days-to-collect measure.
C) Company B appears to be better managed.
D) Company B's days-to-collect measure is rising.
Correct Answer:
Verified
Correct Answer:
Verified
Q49: The accounts receivable account for each customer
Q59: Adventure Company uses the aging of accounts
Q60: A company's unadjusted trial balance at the
Q61: In reviewing the accounts receivable,the net receivables
Q62: Bad Debt Expense is classified as<br>A)part of
Q64: A company reported a receivables turnover ratio
Q65: Use the information above to answer the
Q66: If a company factors its receivables,its receivables
Q66: On average,5% of total accounts receivable has
Q67: The Grass is Greener Corporation uses the