XYZ CorpHas Improved Its Average Collection Period from 55 to 40

question 120

Multiple Choice

XYZ Corp.has improved its average collection period from 55 to 40 days.Which one of XYZ are other ratios may appear worse as a result of the improved receivables collection?

• A)Inventory turnover
• B)Quick ratio
• C)Net profit margin
• D)Return on equity

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Definitions:

Epididymitis

An inflammation of the epididymis, often caused by infection, leading to scrotal pain and swelling.

Chlamydia

A sexually transmitted infection caused by the bacterium Chlamydia trachomatis, often asymptomatic but can lead to serious reproductive issues if untreated.

Gonorrhea

A sexually transmitted infection caused by the bacterium Neisseria gonorrhoeae, characterized by the inflammation of the genital tract.

HIV

Human Immunodeficiency Virus, a virus that attacks the immune system and can lead to AIDS (Acquired Immunodeficiency Syndrome) if not treated.