The following information relates to ABC.
Which of the following would be a reason for the movement in the trade receivable days?
A new credit controller was appointed during the year ended 30 June 20X3 who has been chasing customers for payment.
A system of early settlement discount was introduced during the year ended 30 June 20X3 which was taken up by quite a few customers.
One customer who regularly took 120 days to pay their invoices stopped buying goods from ABC during the year ended 30 June 20X3.
It was decided during the year ended 30 June 20X3 to stop undertaking credit checks on new customers.
Submit