Which company reduced the average time it took to collect on accounts receivable from 20X1 to 20X2?

A. Company B.

B. Company C.

C. Company D.

Mary Gonzales is evaluating companies in the office supply industry and has compiled the following information:

Transcribed Image Text:

Company Credit Sales ($) 20X1 Average Receivables Balance ($) Credit Sales ($) A 5.0 million 1.0 million 6.0 million 20X2 Average Receivables Balance ($) 1.2 million B 3.0 million 1.2 million 4.0 million 1.5 million C 2.5 million 0.8 million 3.0 million 1.0 million D 0.5 million 0.1 million 0.6 million 0.2 million Industry 25.0 million 5.0 million 28.0 million 5.4 million