If a Company Has N/120-Credit Terms, You Would Expect Its

question 121

Multiple Choice

If a company has n/120-credit terms, you would expect its Accounts Receivable turnover to be:

• A)3
• B)6
• C)10
• D)12

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Definitions:

Drawee Bank

The financial institution upon which a check or draft is drawn and is responsible for its payment.

Cincinnati Insurance Company

The Cincinnati Insurance Company is a US-based insurance provider that offers a range of insurance products, including life, business, and property and casualty insurance.

Liability

A legal responsibility or obligation.

Good Faith

A fundamental principle in contract law that requires all parties to act honestly and fairly without taking unfair advantage of others.