All other things being equal,a company is better off when its receivable turnover ratio:
A)and its days-to-collect measure are both low.
B)is high and its days-to-collect measure is low.
C)and its days-to-collect measure are both high.
D)is low and its days-to-collect measure is high.

Question

Quizplus · Accepted Answer

It is better to have a higher receivables turnover ratio (which means faster the collection of receivables)and a lower number of days to collect (which means a shorter time to collect).

All Other Things Being Equal,a Company Is Better Off When