Which One of the Following Statements Is Correct If a Firm

question 15

Multiple Choice

Which one of the following statements is correct if a firm has an accounts receivable turnover measure of 10?

• A)It takes the firm 36.5 days to pay its creditors.
• B)It takes the firm 36.5 days to sell its inventory and collect payment from the sale.
• C)It takes the firm 36.5 days to collect payment for a sale.
• D)The firm has 10 times more in accounts receivable than it does in cash.
• E)It takes an average of 10 days to collect payment from the firm's customers.

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Definitions:

Incompetence

The inability of a structure, such as a valve within the body, to perform its function properly, often leading to the leakage or backflow of blood.

Lower Back

The lumbar region of the spine that supports much of the body's weight and is often a common area for pain.

Gastrocnemius

A significant muscle in the calf that plays a crucial role in the activities of walking, running, and jumping, aiding in the motion of both the ankle and the knee.

Heavy Weight

Refers to objects of a substantial mass, often used in the context of lifting weights in exercise or strength training.