WHICH OF THE FOLLOWING MOST LIKELY INDICATES THAT A COMPANY IS BOOS...

8. Which of the following most likely indicates that a company is boosting its operating cash

flow by selling receivables to a third party?

A. A decrease in the company’s days’ sales outstanding.

B. An increase in the company’s days’ sales outstanding.

C. An increase in a company’s days of payable.

LO.k: Describe indicators of balance sheet quality.

LO.l: Evaluate the balance sheet quality of a company.