FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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- A company reports the following: Sales $572,320Average accounts receivable (net) 20,440arrow_forwardBased on the following data, what is the accounts receivable turnover? Line Item Description Amount Sales on account during year $481,916 Cost of goods sold during year 220,075 Accounts receivable, beginning of year 44,464 Accounts receivable, end of year 52,698 Inventory, beginning of year 82,460 Inventory, end of year 110,155 a. 4.4 b. 9.9 c. 2.2 d. 10.8arrow_forwardA firm has an ACP of 38 days and its annual sales are $5.3 million. What is its account receivable balance? Multiple Choice $551,781 $619,304 $692,098 $759,021arrow_forward
- Blue Air Inc., has net sales of $735,000 and accounts receivables of $164,000. What are the firm's accounts receivables turnover? Round to two decimal places.arrow_forwardAccounts Receivable Analysis The following data are taken from the financial statements of Basinger Inc. Terms of all sales are 2/10, n/45. 20Y3 20Y2 20Y1 Accounts receivable, end of year $157,200 $164,000 $171,800 Sales on account 883,300 789,130 a. For 20Y2 and 20Y3, determine (1) the accounts receivable turnover and (2) the number of days' sales in receivables. Round interim calculations to the nearest dollar and final answers to one decimal place. Assume a 365-day year. 20Y3 20Y2 1. Accounts receivable turnover 2. Number of days' sales in receivables days days This can be seen in both the in accounts receivable b. The collection of accounts receivable has turnover and the in the collection period.arrow_forwardPlease help me with show all calculation thankuarrow_forward
- 7arrow_forwardThe following data was generated as of December 31Accounts receivable, Jan 1 550,000.00Accounts receivable collected 875,000.00Cash Sales 350,000.00Inventory, January 1 450,000.00Inventory, December 31 275,000.00Purchases 950,000.00Gross Margin on Sales 375,000.00 a.) How much is the total sales?b.) How much is the cost of sales?c.) How much is the ending Receivable as of Dec 31?d.) How is the credit sales?arrow_forwardNonearrow_forward
- Logan Sales provides the following information: Net credit sales: $770,000 Beginning net accounts receivable: $45,000.00 Ending net accounts receivable: $22,000 Calculate the accounts receivable turnover ratio. (Round your answer to the nearest whole number.) A. 23 times B. 35 times C. 33 times D. 17 timesarrow_forwardYour Company had gross sales of $505,000 and returns allowances and discounts were $5,000 for the period. Its beginning balance in accounts receivable was $82,000 and the ending balance was $78,000. What is its accounts receivable turnover?arrow_forwardBelow are amounts (in millions) from three companies' annual reports. Beginning Accounts Receivable Ending Accounts Receivable Net Sales WalCo TarMart $1,815 $2,762 $322,427 6,166 6,694 67,878 CostGet 629 665 68,963 Required: 1. Calculate the receivables turnover ratio and the average collection period for WalCo, TarMart and CostGet. 2. Which company appears most efficient in collecting cash from sales? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the receivables turnover ratio and the average collection period for WalCo, TarMart and CostGet. (Enter your rounded to 1 decimal place.) WalCo TarMart CostGet Choose Numerator Receivables Turnover Ratio Choose Denominator Average Collection Period Choose Numerator Choose Denominator = Receivables turnover ratio times times times = Average collection periodarrow_forward
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