The receivables turnover ratio of Purrfect Pets,Inc.increases from 10.2 to 13.6.Which of the following statements is true?
A) This indicates that the company is taking longer to collect credit payments.
B) This is an indication that the company is experiencing rising credit costs.
C) This could be an indication that the company is using more efficient collection methods.
D) This is an indication that the company is buying and selling financial assets more rapidly.
Correct Answer:
Verified
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