An increase in the accounts receivable turnover may be due to an improvement in the collection of receivables or to a change in the granting of credit and/or in collection practices.

Question

Quizplus · Accepted Answer

An increase in accounts receivable turnover can be caused by various factors, including improved collection practices and changes in credit-granting policies. Therefore, the statement is true.

An Increase in the Accounts Receivable Turnover May Be Due