A High Accounts Receivable Turnover Ratio Indicates

question 34

Multiple Choice

A high accounts receivable turnover ratio indicates:

• A) the company's sales are increasing.
• B) a large proportion of the company's sales are on credit.
• C) customers are making payments very quickly.
• D) the company is taking longer to sell inventory.

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Definitions:

Routine Request

A standard or common inquiry or petition that follows established procedures or guidelines.

Audience Compliance

The extent to which an audience acts in accordance with the requests, guidelines, or directions provided by a communicator or message.

Negative Outcome

An unfavorable or adverse result stemming from a particular action or decision.

Routine Messages

Regular, everyday communications that convey standard information in a business or organizational context.