Assume that Charles Barry of Morgan Stanley has impressed you with the companys success and its commitment to ethical behavior. You learn of a staff opening at Morgan Stanley and decide to apply for it. Your resume is successfully screened from the thousands received and you advance to the interview process. You learn that the interview consists of analyzing the following financial facts and answering questions below. (The data are taken from a small merchandiser in outdoor recreational equipment.)

	Year 3	Year 2	Year 1
Sales trend percents	137.0%	125.0%	100.0%
Selling expenses to sales	9.8%	13.7%	15.3%
Sales to plant assets ratio	3.5 to 1	3.3 to 1	3.0 to 1
Current ratio	2.6 to 1	2.4 to 1	2.1 to 1
Acid-test ratio	0.8 to 1	1.1 to 1	1.2 to 1
Merchandise inventory turnover	7.5 times	8.7 times	9.9 times
Accounts receivable turnover	6.7 times	7.4 times	8.2 times
Total asset turnover	2.6 times	2.6 times	3.0 times
Return on total assets	8.80%	9.40%	11.10%
Return on equity	9.75%	11.50%	12.25%
Profit margin ratio	3.3%	3.5%	3.7%

Use these data to answer only one of the following six questions. If possible, please pick a question that has not been answered previously. Start your discussion post with the number of the question and the question you are answering. When commenting on your classmates posts, comment on a question that you did not answer.

Is the companys investment in accounts receivable decreasing? Explain.