When calculating the net accounts receivable turnover ratio, the correct divisor is net accounts receivables.

Name: When calculating the net accounts receivable turnover ratio, the correct divisor is net accounts receivables.
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Question

Quizplus · Accepted Answer

The net accounts receivables turnover ratio is calculated by dividing net credit sales by the average net accounts receivables during a specific period. Therefore, the correct divisor is net accounts receivables.

When Calculating the Net Accounts Receivable Turnover Ratio, the Correct