All of the Following Are True of the Number of Days

question 186

Multiple Choice

All of the following are true of the number of days' sales uncollected ratio except:

• A) Can be used for comparisons to other companies in the same industry.
• B) Is most effective in evaluating the cash sales of a company.
• C) Can be used for comparisons between current and prior periods.
• D) Reflects the liquidity of receivables.
• E) Measures how much time is likely to pass before the current amount of accounts receivable is received in cash.

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Definitions:

Laryngopharynx

The part of the pharynx that lies below the epiglottis and above the esophagus, involved in both respiration and digestion.

Trachea

The windpipe, a tube that connects the larynx to the bronchi of the lungs, allowing the passage of air.

Glottis

The part of the larynx consisting of the vocal cords and the slit-like opening between them. It plays a key role in producing sounds.

Epiglottis

A leaf-shaped flap in the throat that prevents food and drink from entering the windpipe when swallowing.