Seligstine, Inc.'s DSO was 31 days in March, and 45 days in April. Which of the following is NOT possible?
A) Sales increased from March to April.
B) Sales decreased from March to April.
C) May's quarterly uncollected balances schedule showed a higher percent of April's sales as uncollected than for March.
D) All of the above.

Question

Quizplus · Accepted Answer

Option A is possible as it could mean that customers paid faster in March than in April.
Option B is possible as it could mean that customers paid slower in April than in March.
Option C is possible as it could mean that customers who purchased in April had a higher percentage of uncollected balances than those who purchased in March.
Thus, all of the options are possible.