Which of the following does accounts receivable turnover measure?
A)The ability of a company to pay its short-term obligations
B)The number of times receiveables are collected during the period
C)The efficiency with which a company generates sales on credit
D)The length of time it takes to collect receivables

Question

Quizplus · Accepted Answer

Accounts receivable turnover measures the number of times receivables are collected during a period. It is a measure of how efficiently a company is able to collect on credit sales.

Which of the Following Does Accounts Receivable Turnover Measure