Based on the ratio above, we found that the days outstanding Increased by 14 days when compare with previous year . The main reason of increasing is the company’s average account receivable in 2015 is higher than 2014 due to the company's selling was more than.
it caused repayment ability of the company increased from 42 days to 56 days. Since the selling amount is higher,that it make date for receipt has been increased but it still in normal credit term 60 days.