Presented here are the average days to collect accounts receivable for four companies in different industries. The data are for 2007.

Required
Write a brief memorandum that provides answers to the following questions.
a. Why would a company that manufactures large expensive items such as cars (Ford) collect its accounts receivables faster than a company that makes appliances (Whirlpool)?
b. Why would a company that manufactures airplanes (Boeing) collect its accounts receivables as quickly as a company that sells furniture(Haverty's)?

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Average Days to Collect Accounts Receivables Company 32 days Booing laircraft manufacturer) Ford (automobile manufacturer automotive operations onlyl Haverty's (furniture retailer) Whirlpool thousehold appliance manufacturer 31 49