Question:Which of the following statements regarding the calculation of 'day's sales' in receivables is incorrect? 

A Allowance for doubtful accounts is generally not considered in the formula for 'day's sales' 
B This formula must be applied in two steps. 
C The number of 'day's sales' in Accounts Receivable is always 365. 
D Net sales are not used in the calculation of 'day's sales' in Accounts Receivable. 

+ Answer
A 

+ Explanation
answer not sure

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Md. Habib Ullah

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