The Days' Sales Uncollected Ratio Is Used To

question 18

Multiple Choice

The days' sales uncollected ratio is used to:

• A)Determine the number of days that have passed without collecting on accounts receivable.
• B)Identify the likelihood of collecting sales on account.
• C)Measure how many days of sales remain until the end of the year.
• D)Estimate how much time is likely to pass before cash receipts from credit sales equal the current amount of accounts receivable.
• E)Measure the amount of layaway sales for a period.

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