If accounts receivable decreases,this indicates that revenues exceed cash receipts from customers.

Name: If accounts receivable decreases,this indicates that revenues exceed cash receipts from customers.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

If accounts receivable decreases, it means that cash receipts from customers exceed revenues as customers are paying off their debts. Conversely, if accounts receivable increases, it means that revenues are increasing as customers owe more money but have not yet paid it.

If Accounts Receivable Decreases,this Indicates That Revenues Exceed Cash Receipts