Quiz Ch 17 – Factors Affecting Average Collection Period
Essentials of Corporate Finance
Ross, Westerfield, and Jordan
10th Edition
Which is most likely to cause an unanticipated increase in a firm’s average collection period?
Which is most likely to cause an unanticipated increase in a firm’s average collection period?
Which is most likely to cause a delay in cash collection?
What factor is likely to reduce the credit period?
What factor is likely to reduce the length of the credit period?
What factor tends to prolong the credit period?
Which option leads to a reduction in the disbursement float of a firm?
What does MM’s proposition of dividend irrelevance rely on?
Which hinders a shareholder’s ability to create their own dividend policy?
Which factor is likely to support a low dividend policy?
What factors drive a firm to adopt a more liberal credit policy?