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1. Boat Motors Inc. currently has $300,000 in AR and its DSO is 70 days. The company wants to reduce DSO to 30 days. If

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1. Boat Motors Inc. currently has $300,000 in AR and its DSO is 70 days. The company wants to reduce DSO to 30 days. If the new policy is adopted, average sales will fall by 5%. What will the level of AR be following the change? Assume a 365 day year. a. $122,143 b. $171,428 c. $128,571 d. $285,001 e. $152,143 f. $234,654 g. $255,007

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