Register now or log in to join your professional community.
<p>Accounts Receivable turnover ration will normally decrease as a result of?</p> <p>A. The write-off of an uncollectible account (assume the use of the allowance for doubtful accounts method)</p> <p>B. A significant sales volume decrease near the end of the accounting period.</p> <p>C. An increase in cash sales in portion to credit sales.</p> <p>D. A change in credit policy to lengthen the period for cash discounts.</p>
Accounts payable turnover shows how many times a company pays off its accounts payable during a period. Accounts receivable turnover shows how quickly a company gets paid by its customers while the accounts payable turnover ratio shows how quickly the company pays its suppliers
A/R turnover = credit sales / average A/R
1- any thing cause decrease of credit sales tend to decrease A/R turn over
in question
more than choise can decrease A/R turnover
A significant sales volume decrease near the end of the accounting period.
As a result of a,c,d but normally c
it is very hard to answer this question
i think all answers doesnot decrease the ratio
d : can be correct
Do you need help in adding the right keywords to your CV? Let our CV writing experts help you.