An Increase in the Average Collection Period May Suggest All

question 42

Multiple Choice

An increase in the average collection period may suggest all of the following except

• A)easing of credit terms
• B)customers are not paying their bills on time
• C)sales have decreased
• D)firm could have a liquidity problem in the future

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Definitions:

Initial Dip

The temporary decrease in performance or productivity that can occur when individuals or organizations first try to implement changes or new strategies.

Compensation Communications

The process of informing and discussing with employees about their compensation, benefits, and any changes to these elements.

Communication Tool

A medium or platform used to convey information or facilitate communication between individuals or groups.

Employee Satisfaction

The level of contentment and positive feeling employees have towards their job, work environment, and overall treatment by the employer.