A firm's average collection period has decreased significantly from the previous year.Which of the following could possibly explain the results?
A) Customers are paying off their accounts quicker.
B) Customers are taking longer to pay for purchases and the firm has a large debt ratio.
C) The firm has a stricter collection policy.
D) Customers are paying off their accounts quicker or the firm has a stricter collection policy
Correct Answer:
Verified
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