Online Companies Need to Be Careful While Using the Personal

question 19

True/False

Online companies need to be careful while using the personal data of consumers as there are various laws imposed to govern the use of personal data by online companies and data aggregators.

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Definitions:

Average Collection Period

The average amount of time it takes for a business to receive payments owed by its customers for credit sales.

Sales on Account

Transactions where goods or services are sold and payment is deferred to a future date, typically recorded as accounts receivable.

Accounts Receivable

Money owed to a business by its customers for goods or services delivered or used but not yet paid for.

Operating Cycle

The duration between the acquisition of inventory and the collection of cash from receivables, indicating the time needed to sell inventory and collect cash.