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An auditor has determined that a client's 'days in receivables' ratio has slowly increased over the last three years. Which of the following could be a possible reason for this?

The receivables have been secured as collateral for a recent captral asset purchase.

The accounts receivable turnover ratio has decreased due to poor internal controls related to credit granting procedures.

The client has hired a collection agency which is extremely efficient at collecting.

The accounts receivable department has implemented a new IT system, making collections much quicker and more efficient.

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