A company monitors the performance of its credit control department by calculating the receivables collection period
as closing trade receivables/annual credit sales x 365. Which of the following factors could cause the receivables collection period calculated as above to be abnormally
high compared to the monthly average level during the year? 1 The company’s trade is seasonal
2 A downturn in the company’s credit sales in the last few months of its accounting period.
3 A large credit sale in the final month of its accounting period
A 1 and 2
B 1 and 3
C 2 and 3
D All three factors B | 
发表于 2008-5-16 09:49
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