All-State Moving Had Sales of $899,000 in 2017 and $967,000

question 79

Multiple Choice

All-State Moving had sales of $899,000 in 2017 and $967,000 in 2018. The firm's current accounts remained constant. Given this information, which one of the following statements must be true?

• A) The total asset turnover rate increased.
• B) The days' sales in receivables increased.
• C) The net working capital turnover rate increased.
• D) The fixed asset turnover decreased.
• E) The receivables turnover rate decreased.

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Definitions:

Days' Sales Uncollected

Measures the average amount of time it takes a company to collect cash from credit sales.