Which of the Following Would Be Most Responsible for a Company's

question 91

Multiple Choice

Which of the following would be most responsible for a company's average collection period being higher than the industry average?

• A)If a company's growth in sales is greater than the growth of sales in the industry.
• B)Being more aggressive in collecting its accounts receivable than its competitors.
• C)Having credit policy standards that are more restrictive than its competitors.
• D)Being more lenient in extending credit to its customers than its competitors.

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Definitions:

Attachment

In psychology, the emotional bond that forms between an infant and their caregiver, crucial for the child's development.

Epiphysis

The rounded end of a long bone, which is separated from the main body of the bone by a growth plate during development.

Medullary Cavity

The central cavity of bone shafts where red or yellow marrow is stored.

Endosteum

A thin vascular membrane of connective tissue that lines the inner surface of the bony tissue that forms the medullary cavity of long bones.