An Indication of How Many Days' Sales Remain in Accounts

question 53

Multiple Choice

An indication of how many days' sales remain in Accounts Receivable awaiting collection is the:

• A)current ratio.
• B)quick ratio.
• C)days' sales in receivables.
• D)accounts receivable turnover.

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Definitions:

Supply Chain Managers

Professionals responsible for overseeing and managing the entire supply chain process to ensure efficiency, cost-effectiveness, and timely delivery of products.

Backup Sourcing

Is the strategy of establishing alternative suppliers to ensure the continuity of supply in case of primary supplier failures.

Margin Lost

The reduction in potential earnings or profit due to inefficiencies, increased costs, or missed opportunities.

Stockout

A situation where inventory is exhausted, and a product is unavailable for sale or delivery, potentially leading to lost sales and customer dissatisfaction.