Which One of the Following Is an Example of a Material

question 59

Multiple Choice

Which one of the following is an example of a material artifact or symbol?

• A) The lines on the parking lot are repainted every year.
• B) The offices of upper management are carpeted; the offices of administrative personnel have tile floors.
• C) The company sponsors a local youth sports team.
• D) Incoming calls are answered by a live person.

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Definitions:

Accounts Receivable Turnover

Accounts Receivable Turnover is a financial metric that measures how efficiently a company collects cash from its credit sales, calculated by dividing total credit sales by the average accounts receivable during a period.

Credit Policies

Guidelines established by businesses to determine to whom they will extend credit and on what terms.

Net Sales

The total revenue from sales after deducting returns, allowances for damaged or missing goods, and any discounts allowed.

Accounts Receivable Turnover

A financial metric that measures how often a company collects its average accounts receivable within a specified period, indicating the efficiency of credit and collections.