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Discuss how much in accounts receivables should be maintaine

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Discuss how much money should be maintained in accounts receivables and discuss why.

Define depreciation and discuss what depreciation means to the manager.

Discuss the options of increasing the capital of a business.

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Solution Summary

This solution discusses how much money should be maintained in accounts receivables and discusses why. It also provides a definition of depreciation and discusses what depreciation means to a manager. Additionally, it discusses the options for increasing the capital of a business.

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The amount in accounts receivables (AR), including the ongoing amount in AR is dependent on the size of the business. A smaller company will have a smaller amount in AR, a larger, publicly traded company will carry a bigger amount in AR. AR is an asset account, and if the company needed to be liquidated, AR is considered a current asset and ...

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