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How Is the Figure for 'Average Days of Sales' Calculated

Question 6

Multiple Choice

How is the figure for 'average days of sales' calculated?


A) (Average net accounts receivable/Net sales) × 365 days
B) (Average net accounts receivable × Net sales) /365 days
C) (Average net accounts receivable/Net sales) /180 days
D) (Average net accounts receivable/Net sales) × 180 days

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