Which Describes the Variables That Determined the Average Accounts Receivable

question 11

Multiple Choice

Which describes the variables that determined the average accounts receivable balance?

• A)The average accounts receivables balance is determined jointly by the volume of credit sales, and the accounts payable days outstanding.
• B)he average accounts receivables balance is determined jointly by the volume of credit sales, and the days' sales outstanding.
• C)The average sales balance is determined jointly by the volume of credit sales, and the days' sales outstanding.
• D)The average inventory balance is determined jointly by the volume of credit sales and the days' sales outstanding.

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Definitions:

Statistical Test

A method of making decisions or inferences about population parameters based on sample data, often involving a comparison between an observed test statistic and a critical value.

Power

The probability that a statistical test will correctly reject a false null hypothesis; it measures a test's sensitivity to detect an effect if there is one.

Null Hypothesis

A hypothesis that proposes there is no significant difference or effect, and any observed difference is due to sampling or experimental error.

Proportion Heated

The fraction or percentage of a whole that has been subjected to a process of heating, often used in the context of scientific experiments or industrial processes.