Which of the Following Statements Regarding the Interpretation of the Receivables

question 112

Multiple Choice

Which of the following statements regarding the interpretation of the receivables turnover ratio is not true?

• A)Analysts often interpret a sudden increase in the receivables turnover ratio as a signal of a developing problem.
• B)The smaller the receivables turnover ratio the larger the days to collect will be.
• C)A change in the receivables turnover ratio may indicate a change in the company's credit granting policies.
• D)A change in the receivables turnover ratio may indicate a change in economic conditions.

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Definitions:

Plasticity

the capacity of the brain to change and adapt in response to experience, injury, or environment, including the formation of new neural connections.

Environmental Influences

Factors stemming from the surrounding physical and social environment that affect an individual's behavior, development, and life outcomes.

Behavior Genetics

The study of genetic and environmental influences on behaviors.

Corpus Callosum

The large band of neural fibers connecting the two brain hemispheres and carrying messages between them, crucial for cognitive and motor function.