Given an Accounts Receivable Turnover of 10 and Annual Credit

question 110

Multiple Choice

Given an accounts receivable turnover of 10 and annual credit sales of $900,000,the average collection period is

• A) 18.25 days.
• B) 36.50 days.
• C) 90 days.
• D) 40.56 days.

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Definitions:

Recommendation

Advice or suggestion given to guide actions or decisions, often based on knowledge, experience, or expertise in a specific area.

Credit Worthiness

refers to an assessment of the likelihood that a borrower can repay a loan or credit, based on their financial history and reliability.

Skills

Abilities or expertise acquired through practice and learning, which can be applied to achieve specific tasks or goals.

Routine Requests

Requests that follow established norms or procedures, typically for regular or administrative purposes.