Selling accounts receivable increases which of the following?
A) current ratio
B) accounts receivable turnover
C) debt/equity
D) effective tax rate

Name: Selling accounts receivable increases which of the following? A) current ratio B) accounts receivable turnover C) debt/equity D) effective tax rate
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Question

Quizplus · Accepted Answer

Selling accounts receivable increases the accounts receivable turnover because it reduces the average accounts receivable balance, leading to a higher turnover ratio.

Selling Accounts Receivable Increases Which of the Following