If a Firm Takes Actions That Reduce Its Days Sales

question 95

True/False

If a firm takes actions that reduce its days sales outstanding (DSO),then,other things held constant,this will lengthen its cash conversion cycle (CCC)and cause a deterioration in its cash position.

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Definitions:

Therapods

A group of bipedal dinosaurs, mostly carnivorous, that includes modern birds and their extinct ancestors like Tyrannosaurus rex.

Tyrannosaurus

Tyrannosaurus is a genus of theropod dinosaurs that lived approximately 68 to 66 million years ago, known for being one of the largest land predators of its time.

Homology

Refers to the existence of shared ancestry between a pair of structures, or genes, in different species.

Parsimonious

Characterized by extreme or excessive economy or simplicity in approach or methodology, often in scientific theories.