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The Accounts Receivable Turnover Ratio Measures

Question 57

Multiple Choice

The accounts receivable turnover ratio measures:


A) how many days it takes,on average,to sell the inventory.
B) how well a company can pay its current liabilities with its current assets.
C) how many days it takes,on average,to collect receivables.
D) the number of times per year a company sells goods and collects receivables.

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