If the Turnover Period for Accounts Receivable Is 8

question 55

Multiple Choice

If the turnover period for accounts receivable is 8.1 times per annum,the average number of days it takes to collect cash from accounts receivable is:

• A) 81 days.
• B) 45 days.
• C) 295 days.
• D) 60 days.

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Definitions:

Share-Ownership

The holding or possession of shares in a company, giving the holder a stake in the company's equity and potentially a say in its governance.

Ownership Culture

A work environment where employees have a stake in the company's success and act like owners.

Gainsharing

A performance-based compensation system where the savings from increased productivity are distributed among employees and the company.

Executive Dining Rooms

Exclusive dining areas within a company or organization that are reserved for senior management or executives, often seen as a symbol of status or privilege.