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Standard Industry Classification codes (SIC) are used for financial statement “benchmarks” analysis. Your company’s financial results would need to be compared to others. SICs provide the format to compare a particular company’s financial data to their respective SIC-industry averages.
Explain how you would use SIC codes to analyze Company X’s Accounts Receivable Turnover of four times given the fact that the SIC rate for companies in Company X’s industry is eight times per year. Discuss the agenda you might set should you be asked to set a plan to improve Company X’s Accounts Receivable Turnover rate.

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