Find the Average Collection Period for a Firm That Has

question 101

Multiple Choice

Find the average collection period for a firm that has credit sales of $120,000,000 and accounts receivable of $30,000,000.

• A)30 days
• B)120 days
• C)90 days
• D)45 days
• E)60 days

---

Definitions:

Redesigning

The process of revising or completely changing the design of a product, service, or system to improve functionality or appearance.

Vertical Loading

The delegation of greater responsibility and authority to lower levels within an organizational hierarchy, aiming to increase job enrichment and employee engagement.

Horizontal Loading

An approach to job design that involves adding more tasks of similar complexity to an employee's responsibilities to increase job breadth.

Job Responsibility

The specific tasks or duties that are expected to be carried out by someone in their employment role.