What does an increasing collection period for accounts receivable suggest about a firm's credit policy?
A.The firm is probably losing qualified customers.
B.Nothing, because the collection period has no relationship to a firm's credit policy.
C.The credit policy may be too lenient.
D.The credit policy is too restrictive.
C. The credit... View the full answer
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Lenientcredit policy It means the company extends favorable terms to the buyers who make purchases on accounts or through... View the full answer