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  3. Study Set
    Financial Accounting Reporting Analysis
  4. Exam
    Exam 7: Reporting and Analysing Cash and Receivables
  5. Question
    The Credit Risk Ratio Is Calculated by Dividing the Allowance
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The Credit Risk Ratio Is Calculated by Dividing the Allowance

Question 40

Question 40

Multiple Choice

The credit risk ratio is calculated by dividing the allowance for doubtful debts by:


A) total sales.
B) total assets.
C) accounts receivable.
D) 365 days.

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