The Accounts Receivable Turnover Is Needed to Calculate

question 1

Multiple Choice

The accounts receivable turnover is needed to calculate

• A)the average collection period in days.
• B)market risk.
• C)return on assets.
• D)current ratio.

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Definitions:

Fair Values

The income from selling an asset or the cost for handling a liability in a methodically organized market deal on the scheduled assessment date.

Business Combination

The process of merging two or more companies into a single entity to achieve operational efficiencies or strategic objectives.

Consolidated Revenues

The total income generated by a corporation and all its subsidiaries, combined to present the overall revenue figures in the financial statements.

Common Stock

A type of security that represents ownership in a corporation, giving holders voting rights and a share in the company's profits through dividends.