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Comment on this company\'s trend for Accounts Receivable turnover this year. Las

ID: 376183 • Letter: C

Question

Comment on this company's trend for Accounts Receivable turnover this year.

Last year

This year

Industry average for this year

40 times

45 times

20 times

(time series means the trend within the company from last year to this year and cross sectional means the comparison within the current year of the company to others in the industry -- so better means the company is better than the industry average)

a. time-series basis is improving but while the cross sectional is worse

b. time-series basis is improving while the cross sectional is better

c. time-series basis is worsening while the cross sectional is worse

d. time-series basis is worsening while the cross sectional is better.

Comment on this company's trend for Accounts Receivable turnover this year.

Last year

This year

Industry average for this year

40 times

45 times

20 times

(time series means the trend within the company from last year to this year and cross sectional means the comparison within the current year of the company to others in the industry -- so better means the company is better than the industry average)

a. time-series basis is improving but while the cross sectional is worse

b. time-series basis is improving while the cross sectional is better

c. time-series basis is worsening while the cross sectional is worse

d. time-series basis is worsening while the cross sectional is better.

Comment on this company's trend for Accounts Receivable turnover this year.

Last year

This year

Industry average for this year

40 times

45 times

20 times

(time series means the trend within the company from last year to this year and cross sectional means the comparison within the current year of the company to others in the industry -- so better means the company is better than the industry average)

a. time-series basis is improving but while the cross sectional is worse

b. time-series basis is improving while the cross sectional is better

c. time-series basis is worsening while the cross sectional is worse

d. time-series basis is worsening while the cross sectional is better.

Comment on this company's trend for Accounts Receivable turnover this year.

Last year

This year

Industry average for this year

40 times

45 times

20 times

(time series means the trend within the company from last year to this year and cross sectional means the comparison within the current year of the company to others in the industry -- so better means the company is better than the industry average)

a. time-series basis is improving but while the cross sectional is worse

b. time-series basis is improving while the cross sectional is better

c. time-series basis is worsening while the cross sectional is worse

d. time-series basis is worsening while the cross sectional is better.

Last year

This year

Industry average for this year

40 times

45 times

20 times

Explanation / Answer

Option B is the best choice i.e. time series data is improving and cross sectional is better because company's account recievable turnover improving in both the cases.

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