Standard Industry Classifications, How are you doingcompared to others?Please do not define SIC CODES...Standard...

70.2K

Verified Solution

Question

Accounting

Standard Industry Classifications, How are you doingcompared to others?
Please do not define SIC CODES OR ACCOUNTS RECEIVABLE as Ialready know what that is. Question 1 is the question. AND PLEASELIST REFERENCES!!!
AND PLEASE LIST REFERENCES!!!
AND PLEASE LIST REFERENCES!!!
Standard Industry Classification codes (SIC) are used forfinancial statement “benchmarks” analysis. Your company’s financialresults would need to be compared to others. SICs provide theformat to compare a particular company’s financial data to theirrespective SIC-industry averages.
1. Explain how you would use SIC codes to analyze aCompany Xs Accounts Receivable Turnover of four times per yearversus a SIC rate of eight times per year.

Answer & Explanation Solved by verified expert

4.3 Ratings (631 Votes)

The receivables turnover ratio is an activity ratio measuring how efficiently a firm uses its assets A high ratio implies either that a company operates on a cash basis or that its extension of credit and collection of accounts receivable is efficient See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member

Transcribed Image Text

In: AccountingStandard Industry Classifications, How are you doingcompared to others?Please do not define SIC CODES...Standard Industry Classifications, How are you doingcompared to others?Please do not define SIC CODES OR ACCOUNTS RECEIVABLE as Ialready know what that is. Question 1 is the question. AND PLEASELIST REFERENCES!!!AND PLEASE LIST REFERENCES!!!AND PLEASE LIST REFERENCES!!!Standard Industry Classification codes (SIC) are used forfinancial statement “benchmarks” analysis. Your company’s financialresults would need to be compared to others. SICs provide theformat to compare a particular company’s financial data to theirrespective SIC-industry averages.1. Explain how you would use SIC codes to analyze aCompany Xs Accounts Receivable Turnover of four times per yearversus a SIC rate of eight times per year.