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samualson samualson
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6 years ago
Company A has a higher days sales outstanding ratio than Company B. Therefore,
A) Company A sells more on credit than Company B.
B) Company A has a higher percentage of cash to credit sales than Company B.
C) Company A must be collecting its accounts receivable faster than Company B, on average.
D) other things being equal, Company B has a cash flow advantage over Company A.
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DeanaRayDeanaRay
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6 years ago
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samualson Author
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6 years ago
Helped a lot
erimis
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This site is awesome
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Thanks for your help!!
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