The Account Receivable Turnover Measures

question 190

Multiple Choice

The account receivable turnover measures:

• A) How long it takes to sell accounts receivable to a factor.
• B) How long it takes to sell merchandise inventory.
• C) The relation of cash sales to credit sales.
• D) How often, on average, receivables are received and collected during the period.
• E) All of the options are correct.

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Definitions:

Client

In computing, a client is a piece of computer hardware or software that accesses a service made available by a server through the network.

E-commerce

The buying and selling of goods and services over the internet, encompassing a wide range of online business activities.

B2C

Business-to-Consumer, a business model where companies sell products or services directly to individual consumers.

C2C

Consumer-to-Consumer, a business model that facilitates commerce between private individuals on the internet.