Apple states in Note 3 that there were no customers that individually represented 10% or more of the total trade receivables as of both September 25, 2021, and September 26, 2020. Why might information about credit concentration be of interest to investors? Also in Note 3, Apple identifies a certain category of customers that accounted for 42% of its trade receivables as of September 25, 2021. What is that category of customers, and why might this information be of interest to investors?

Apple states in Note 3 that there were no customers that individually represented 10% or more of the total trade receivables as of both September 25, 2021, and September 26, 2020. Why might information about credit concentration be of interest to investors? Also in Note 3, Apple identifies a certain category of customers that accounted for 42% of its trade receivables as of September 25, 2021. What is that category of customers, and why might this information be of interest to investors?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 16Q: Angelos Outlet used to report bad debt using the balance sheet method and is now switching to the...

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