The Gold Coast Professional Conference Organisation Company Took an Average

The Gold Coast Professional Conference Organisation company took an average of 32 days to collect its accounts receivable in 2010. In 2011, it incurred $70,000 in expenses when generating sales of $250,000. Its accounts receivable balance was $25,000 at the start of 2011 and $31,250 at the end of the year.
Compared to 2010, during 2011 has the company been faster or slower in collecting its accounts receivable? (Assume a 360-day year) .

A) 4 days slower
B) 4 days faster
C) 8.5 days slower
D) 13 days slower
E) 13 days faster

Correct Answer:

Answered by ExamLex AI

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free