From above, assume that SDS reported net sales of $950,000 in 2020. Net Accounts Receivable are $175,000 at December 31, 2020 and were $155,000 at December 31, 2019, respectively. Using your answers to the previous question, and given that almost all of SDS' customers have payment terms of 2/10, n/45 or n/45, comment on whether the customers are paying on time? Is SDS' collections department efficient? effective?

answers from previous question

accounts recievable turnover: 5.76

days it take SDS to pay customers: 63