If Management Wishes to Know How Long It Takes to Collect

question 68

Multiple Choice

If management wishes to know how long it takes to collect from a charge customer, they could use the:

• A) rate of return on total assets.
• B) average collection period.
• C) acid test ratio.
• D) current ratio.

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Definitions:

Habituation

The process by which an individual becomes accustomed to a stimulus or environment, leading to a decrease in response over time.

Newborns

Referring to a baby, especially during the first few weeks or months after birth.

First-Born

The status of being the earliest born child in a family, which has been studied for its potential impact on personality, intelligence, and other aspects of development.

Higher IQ

Higher IQ indicates a level of intelligence that is significantly above the average for a given age group.