A technique that provides the analyst with the information concerning the proportion of each type of account that has been outstanding for a specified period of time is called
A) credit analysis.
B) credit scoring.
C) aging of receivables.
D) the economic order quantity model.

Question

Quizplus · Accepted Answer

The technique described is commonly known as aging of receivables, which involves categorizing accounts by age to determine which ones are overdue and for how long. This information is useful for assessing the effectiveness of a company's credit policies and collection efforts, as well as identifying potential bad debts. Credit analysis and credit scoring involve assessing the creditworthiness of individual accounts or customers, while the economic order quantity model is a tool for optimizing inventory management.

A Technique That Provides the Analyst with the Information Concerning