B. Average collection period in days is 14.7 days. C. The higher the accounts receivable turnover, the less liquid the accounts recelvable. D. The longer (higher value) of the average collection period, the less liquid the accounts receivable. Q22 Michael, owner of Linen Michael Fabrics, asks you to explain how she should treat the following reconciling items when reconciling the company's bank account: (1) a debit memorandum for an NSF check, (2) a credit memorandum for an electronic funds transfer on account from a customer, (3) outstanding checks, and (4) a deposit in transit. should treat the reconciling items as follows. Which of the following statement is false? A. NSF check: Add to balance per books. B. Electronic funds transfer: Add to balance per books. C. Outstanding checks: Deduct from balance per bank. D. Deposit in transit: Add to balance per bank. Q23