The following information is from the annual financial statements of Raheem Company. Year 3 $ 238,000 39,400 Year 2 $ 169,000 37,200 Net sales. Accounts receivable, net (year-end) (1) Compute its accounts receivable turnover for Year 2 and Year 3. (2) Assuming its competitor has a turnover of 9.3, is Raheem performing better or worse at collecting receivables than its competitor? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute its accounts receivable turnover for Year 2 and Year 3. Year 2: Year 3: Choose Numerator: 1 1 1 1 Accounts Receivable Turnover Choose Denominator: < Required 1 Year 1 $ 226,000 33,900 = Accounts Receivable Turnover Accounts receivable turnover times times = = Required 2 >

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business…