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ASAP pls Aclimbus annual sales of $160.000 and accounts receivable of $15.000. It gives its customers 3 days to pay. The industry average DSO is
ASAP pls
Aclimbus annual sales of $160.000 and accounts receivable of $15.000. It gives its customers 3 days to pay. The industry average DSO is 23.5 days, based on a 365 day year. If the company changes its credit and collection policy sufficient to cause its DSC to fall to the industry average, and if learns 12% on any cash freed-up by this change, how would that effect the firm's earnings, assuming other things are held constantStep by Step Solution
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