Average: 4 Attempts: Aa Aa 8. Accounts receivable Effective company's terms of credit, and setting up procedures for invoicing and collecting past-due accounts. The following credit management involves establishing credit standards for extending credit to customers, determining the statement refers to a credit management policy. Select the best term to complete the sentence. handles its credit accounts, including methods of invoicing and collecting past-due accounts, is How a company indicated by the company's Conslder the case of Three Waters Co. Three Waters Co. has a very attractive credit policy, and none of its customers pays in cash when the firm makes a sale. Three Waters Co. sells to its customers on credit terms of 2/10, net 30. if a customer bought $125,000 worth of goods and paid the firm cash eight days after the sale, how much cash would Three Waters Co. get from the customer? O $115,625 O $122,500 O $112,500 o $103,125 If the customer paid off the account after 15 days, Three Waters Co. would receive Approximately 30% of Three waters Co.'s customers take advantage of the discount and pay on the 10th day. The remaining 70% take an average of 35 days to pay off their accounts. What is Three waters Co.'s days sales outstanding (DSO), or the average collection period? O 23.4 days O 27.5 days O 22.0 days O 33.0 days