From the following information, calculate - 1. Trade receivables turnover ratio 2. Average collection period 3. Trade payable turnover ratio Given: Revenue from Operations 8,75,000 Creditors 40,000 Bills receivable 48,000 Bills payable 2,000 Purchases 4,20,000 Trade debtors 59,000

From the following information, calculate - 1. Trade receivables turnover ratio 2. Average collection period 3. Trade payable turnover ratio Given: Revenue from Operations 8,75,000 Creditors 40,000 Bills receivable 48,000 Bills payable 2,000 Purchases 4,20,000 Trade debtors 59,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

From the following information, calculate -
1. Trade receivables turnover ratio
2. Average collection period
3. Trade payable turnover ratio
Given:
Revenue from Operations 8,75,000
Creditors 40,000
Bills receivable 48,000
Bills payable 2,000
Purchases 4,20,000
Trade debtors 59,000

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