INTERNATIONAL JOURNALS OF ACADEMICS & RESEARCH
IJARKE Business & Management Journal
standard deviation of 1.564. The statement that collection policy monitors account receivable to know had a mean score of 3.68
and standard deviation of 1.463. The statement that circumstances for offering credit to clients had a mean score of 3.93 and a
standard deviation of 1.078.
8.1.3 Account Receivables
The third objective was to determine the effect of account receivables on financial performance of transport firms in Mombasa
County. The statement in agreement that available debt collection policy has assisted towards effective debt management had a
mean score of 4.21 and a standard deviation of 1.210. The statement that transport firms sets and follows debt collection policy
and terms had a mean score 3.26 and a standard deviation of 1.435. The statement that the organization implements these terms
and policies in case of failure to pay the loan had a mean score 3.60 and standard deviation of 1.374. The statement that
favourable credit terms stimulate sales had a mean score of 3.59 and a standard deviation of 1.232.
Table 5 Account Receivables
Available debt collection policy has assisted towards
effective debt management
Transport firms sets and follows debt collection policy and
terms
The organization implements these terms and policies in
case of failure to pay the loan
Favourable credit terms stimulates sales
Valid N (listwise)
8.1.4 Credit Terms
ISSN: 2617-4138 www.ijarke.com
DOI: 10.32898/ibmj.01/1.4article07
Table 6 Credit Terms
Business growth has been as a result of proper financial
management practices undertaken by the firm.
There had been an improvement in debtor's collection by using
credit collection policies
The business growth depends on sales returns in terms of price
of the product, sales in the period, number of customers in a period
and credit collection policy in place
Solvency-Long-term debt against your assets and equity
Valid N (listwise)
N
103
92 IJARKE PEER REVIEWED JOURNAL
103
103
103
103
N
103
103
103
103
103
Mean
The fourth objective of the study was to examine influence of credit terms on financial performance of transport firms in
Mombasa County. The statement that available debt collection policy has assisted towards effective debt management had a mean
score of 4.21 and a standard deviation of 1.210. The statement that transport terms of sales had a mean score of 3.76 and a
standard deviation of 1.302. The statement that credit collection period had a mean score of 3.57 and a standard deviation of
1.684. The statement those terms of extension of credit facilities as shown in Table 6
N
103
4.21
3.26
103
103
3.60
3.59
Mean
Available debt collection policy has assisted towards
effective debt management
Transport terms of sales
Credit collection period
Terms of extension of credit facilities
Valid N (listwise)
8.1.5 Financial Performance
The statement that business growth has been as a result of proper financial management practices undertaken by the firm had a
mean score of 3.68 and a standard deviation of 1.463.
Table 7 Financial Performance
Vol. 1, Issue 4
4.21
3.76
3.57
3.51
103 3.48
103 3.13
Std.
Deviation
1.210
1.435
1.374
1.232
3.58
Std.
Deviation
Std.
Mean Deviation
3.68
1.463
1.210
1.302
1.684
1.552
1.259
1.525
1.492
May-Jul. 2019
