Business, 18.03.2021 01:50 fitzghost

Aziz Industries has sales of $100,000 and accounts receivable of $11,500, and it gives its customers 30 days to pay. The industry average DSO is 27 days, based on a 365-day year. If the company can change its credit and collection policy sufficiently to cause its DSO to fall to the industry average (without decreasing sales) and if it earns 8.0% on any cash freed-up by this change, how would that affect its net income, assuming other things are held constant

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Aziz Industries has sales of $100,000 and accounts receivable of $11,500, and it gives its customers...

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