You are in a meeting and one of your colleagues makes the following statement: Accounts receivable turnover

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You are in a meeting and one of your colleagues makes the following statement:
“Accounts receivable turnover is 4.2. This is a good turnover ratio and it means that the company receives payments quickly from its customers.”

Required

Critique your colleague’s statement.

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Related Book For answer-question

Understanding Financial Accounting

ISBN: 9781119406921

2nd Canadian Edition

Authors: Christopher D. Burnley

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Question Posted: Jul 22, 2019 01:16 PM

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You are in a meeting and one of your colleagues makes the following statement: Accounts receivable turnover

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Accounts Receivable Turnover will vary from year to year company to comp...View the full answer

Understanding Financial Accounting

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