If a Company Attempts to Artificially Inflate Current Sales and Net

question 33

Multiple Choice

If a company attempts to artificially inflate current sales and net income by shipping goods that have not been ordered,we would expect that the receivables turnover ratio will:

• A)rise and the days-to-collect will rise,all other things equal.
• B)rise and the days-to-collect will fall,all other things equal.
• C)fall and the days-to-collect will fall,all other things equal.
• D)fall and the days-to-collect will rise,all other things equal.

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Definitions:

Hindbrain

The rear division of the brain, responsible for regulating basic life functions such as heartbeat, breathing, and balance.

Heart Rate

The number of times a heart beats per minute, an important measure of heart health and physical fitness.

Hippocampus

A subcortical forebrain structure; it is associated with the formation of new memories.

Memories

Stored information and experiences in the brain that can be recalled for future use.