Table 15.6 A Breakdown of Teffan, Inc.'s Outstanding Accounts Receivable Dated June

question 204

Multiple Choice

Table 15.6
A breakdown of Teffan, Inc.'s outstanding accounts receivable dated June 30, 2003 on the basis of the month in which the credit sale was initially made follows. The firm extends 30-day credit terms.
-A decrease in collection efforts will result in ________ in sales volume, ________ in the investment in accounts receivable, ________ in bad debt expenses, and ________ in collection expenditures.

• A) an increase; an increase; an increase; a decrease
• B) an increase; a decrease; an increase; an increase
• C) an increase; a decrease; an increase; a decrease
• D) a decrease; a decrease; a decrease; an increase

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Definitions:

Alternatives

Alternatives refer to other options or choices available in a given situation.

Linguistic Relativity Hypothesis

The theory that the structure of a language affects its speakers' world view or cognition.

Benjamin Whorf

An American linguist known for his hypothesis that the structure of a language affects its speakers' cognition and world view, often referred to as the Sapir-Whorf hypothesis.

Nativist Theory

The belief that certain skills or abilities are innate and hardwired in the brain at birth, emphasizing the role of genetics and inheritance in human development.