Combine the concepts of accounts receivable turnover ratio and credit management to explain how a company can improve its cash flow.

• A. By decreasing the accounts receivable turnover ratio, a company can improve cash flow by extending more credit.
• B. By increasing the accounts receivable turnover ratio, a company can improve cash flow by converting credit sales into cash more efficiently.
• C. By ignoring the accounts receivable turnover ratio, a company can improve cash flow by focusing on inventory management.
• D. By maintaining a low accounts receivable turnover ratio, a company can improve cash flow by reducing sales.

Answer: (B)