An increase in accounts receivable turnover due to an increase in collection efforts will
A. decrease the firm’s marginal investments in accounts receivable.
B. increase the firm’s marginal investments in accounts receivable.
C. decrease the firm’s collection expense.
D. increase the firm’s bad debt expense.
Answer:A
An increase in accounts receivable turnover due to an increase in collection efforts will
A. decrease the firm’s marginal investments in accounts receivable. B. increase the firm’s marginal investments in accounts receivable. C. decrease the firm’s collection expense. D. increase the firm’s bad debt expense.