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Explain how the collections and purchases schedules are related to the borrowing needs of the corporation.

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Explain how the collections and purchases schedules are related to the borrowing needs of the corporation.

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The expert explains how the collection and purchases schedules are related to the borrowing needs of the corporation.

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The collections period of the company refers to how fast the company can collect the money from the customers (debtors), such as, when customers purchased the products in credits. This is the account receivables of the company, and if the company can collect the money in a shorter time, it means the company will have more liquid cash to use. If the ...

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