bravo limited offers sales terms of 30 days, but as sales have grown, collection of accounts receivable has gone from an average of 20 days to 38 days. To address this, 2 new collections staff have been employed, doubling the collection team. As a result, the business is projecting that receivables will be collected on an average of 36 days next year. What is your assessment of this assumption?

Answer rating: 100% (QA)

Increasing the collection team by doubling the staff is a positive step to improve account... View the full answer