A General Rule to Use in Assessing the Average Collection

question 187

Multiple Choice

A general rule to use in assessing the average collection period is that

• A) it should not exceed 30 days.
• B) it can be any length as long as the customer continues to buy merchandise.
• C) it should not greatly exceed the discount period.
• D) it should not greatly exceed the credit term period.

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Definitions:

Profit/Loss Spreadsheets

Spreadsheet templates or tools designed to track income and expenses to determine the financial performance of a business over a specific period.

Client/Server Network

A network architecture where clients request resources or services, and servers provide them, enabling centralized resource management.

Client

A computer or software application that accesses services or resources from a server in a networked environment.

DoS Attack

Short for Denial of Service attack, it is a malicious attempt to disrupt the normal functioning of a targeted server, service, or network by overwhelming it with a flood of Internet traffic.