31. Why do companies seek to collect their accounts receivable quickly? 32. How is average days to collect receivables calculated? What does it tell you about a company's receivables? ...

31. Why do companies seek to collect their accounts receivable quickly?

32. How is average days to collect receivables calculated? What does it tell you about a company's receivables?

33. What are the consequences of having too much inventory? Of having too little inventory?

34. Norris Company is seeking a short-term loan from its local bank. The banker needs assurance that the company will be able to repay the loan. Describe three financial ratios the banker should consider including in the loan approval process. What information does each of your selected ratios provide?

35. What do solvency ratios measure?