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western Gas a Electric Co.'s cro has dedided to take a dloser look at the company's ocredit policy. Western Gas a Electric Co. has annual

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western Gas a Electric Co.'s cro has dedided to take a dloser look at the company's ocredit policy. Western Gas a Electric Co. has annual sales of $384.4 million, and it currently has an acpounts recelvable balance of $46.3 million. The first step in analyzing the firms credit policy is to determine its days sales outstanding (DSO). Based on this infor mation, what is Westem Gas & Electric Co.'s DSO? (use 365 days as the length of a year in all calculations.) O 44.0 days O 33.0 days O 48.4 days 41.8 days The average DSO for Western Gas & Electric Co.'s industry is 51 2 days. Assuming that its sales stayed the same, what would be Western Gas & Electric Co.'s receivables balance if it maintained the industry average DSo? O $56,617,398 O $43,529,198 ? $51,225,264 O $53,921,331 Western Gas a Electric Co.'s CFO thinks that the company has nat dane a very good job of enforcing its credit pdlicy The CFO believes that if the company were to better enforce its credit podlicy, it would reduce its Dso to s0 days however, his will cause wester Gas & ectric co to lose of its sales revenue. Determine what westem Gas a Bectric Co.'s expected accounts receivables balance would be if it decides to tighten its credit pdlicy. O $25,244,031 O $29,698,860 O $37,123,575 O $28,213,917

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