Delta Distributors has an investment in accounts receivable of $3,000,000. Daily credit sales are $120,000. If 30% of Delta's credit customers receive a discount by paying within 10 days,what is the net period that Delta maintains?
A) 10 days
B) 23 days
C) 38 days
D) 45 days
E) There is not enough information to tell.

Question

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The Answer of Delta Distributors has an investment in accounts receivable of $3,000,000. Daily credit sales are $120,000. If 30% of Delta's credit customers receive a discount by paying within 10 days,what is the net period that Delta maintains?
A) 10 days
B) 23 days
C) 38 days
D) 45 days
E) There is not enough information to tell.

Delta Distributors Has an Investment in Accounts Receivable of $3,000,000