Which Ratio Indicates the Effectiveness of a Company's Credit Extension

question 92

Multiple Choice

Which ratio indicates the effectiveness of a company's credit extension policy?

• A) inventory turnover
• B) accounts payable turnover
• C) days sales outstanding
• D) days inventory on hand

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Definitions:

FSH Secretion

The release of Follicle Stimulating Hormone, a gonadotropic hormone, by the anterior pituitary gland, involved in reproductive processes.

Menstrual Cycle

The regular natural change that occurs in the female reproductive system that makes pregnancy possible, including the processes of ovulation and menstruation.

Regulatory Functions

The activities in organisms and systems that maintain homeostasis and control physiological processes.

Endocrine System

A network of glands that secrete hormones into the bloodstream, regulating processes like metabolism, growth, and reproduction.