Question

The account receivable turnover measures: Multiple Choice All of the options are correct. How often, on average, receivables are received and collected during the period. How long it takes to sell accounts receivable to a factor. The relation of cash sales to credit sales. How long it takes to sell merchandise inventory.

Answer 1

Answer:

How often, on average, receivables are received and collected during the period

Explanation:

An account receivable is an accounting entry that measures the amount which a firm or organization will receive soon that is not paid yet by the customers. Likewise, account receivable turnover measures the average amount received and collected in a particular period. It helps to understand the average receivable amount and what must be changed to improve it.