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In 20X3, Toys 4 U had account payables turnover ratio of 6.08; in 20X2, 5.87; and 5.45 in 20X1. Which of the following statements
In 20X3, Toys 4 U had account payables turnover ratio of 6.08; in 20X2, 5.87; and 5.45 in 20X1. Which of the following statements is true about what the ratios indicate? Multiple Choice Toys 4 U is taking less time to collect from its customers. Toys 4 U is taking less time to pay vendors in 20X3 than it took in both 20X2 and 20x1. Toys 4 U has been increasing its average payables at a faster rate than its cost of sales has increased. Toys 4 U is taking longer to pay its vendors in 20X3 versus 20x2
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