A Firm's Age of Accounts Receivable

question 39

Multiple Choice

A firm's age of accounts receivable:

• A)measures the average time between credit-based sales and the collection of payments for those sales.
• B)is likely to be greater for firms within the same industry with more generous credit terms.
• C)is in part a function of the type of industry in which the firm operates.
• D)All of the above.

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Definitions:

Bankruptcy Code

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