Effective credit management involves establishing credit standards for extending credit to customers, determining the company's terms of credit, and setting up procedures for invoicing and collecting past-due accounts The following statement refers to a credit management policy. Select the best term to complete the sentence The minimum financial strength a customer must have to be granted credit is indicated by the company's credit terms collection policy credit standards Stowe-Arts Holdings Co. Stowe-Arts Holdings Co. has a very attractive credit policy, and none of its customers pays in cash when the firm makes a sale. Stowe-Arts Holdings Co. sells to its customers on credit terms of 2/10, net 30 If a customer bought $200,000 worth of goods and paid the firm cash eight days after the sale, how much cash would Stowe-Arts Holdings Co. get from the customer? $196,000 O $200,000 O $160,000 O $185,000 If the customer paid off the account after 15 days, Stowe-Arts Holdings Co. would receive Approximately 30% of Stowe-Arts Holdings 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 Stowe-Arts Holdings Co.'s days sales outstanding (DSO), or the average collection period? 30.3 days O 24.8 days O 27.5 days O 22.0 days