Please answer following question  Q5: Company Name Net Credit Sales Beginning Net Receivables Ending Net Receivables Brown $180,000 $  5,000 $30,000 Pink $400,000 $52,000 $42,000 Yellow $  75,000 $  5,400 $  5,800 (a)​Which company is doing the best job of managing its accounts receivable? Why? Be sure to support your answer with computations. (b)​What are your concerns about these companies?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Please answer following question 

Q5:

Company

Name

Net Credit

Sales

Beginning

Net Receivables

Ending

Net Receivables

Brown

$180,000

$  5,000

$30,000

Pink

$400,000

$52,000

$42,000

Yellow

$  75,000

$  5,400

$  5,800

(a)​Which company is doing the best job of managing its accounts receivable? Why? Be sure to support your answer with computations.

(b)​What are your concerns about these companies?

 

BR,

 

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