American Eagle Outfitters Inc sells clothing accessories and personal care American Eagle Outfitters, Inc. sells clothing, accessories, and personal care products for men and women through its retail stores. American Eagle reported the following data (in millions) for two recent years: ____________________ Year 2 ________ Year 1 Sales ………………… $3,522 …………… $3,283 Accounts receivable ……. 81 ………………… 68 Assume that accounts receivable (in millions) were $74 million at the beginning of Year 1. a. Compute the accounts receivable turnover for Year 2 and Year 1. Round to two decimal places. b. Compute the day’s sales in receivables for Year 2 and Year 1. Use 365 days and round to one decimal place. c. What conclusions can be drawn from these analyses regarding American Eagle Outfitters’ efficiency in collecting receivables? American Eagle Outfitters Inc sells clothing accessories and personal care
American Eagle Outfitters Inc sells clothing accessories and personal care American Eagle Outfitters, Inc. sells clothing, accessories, and personal care products for men and women through its retail stores. American Eagle reported the following data (in millions) for two recent years: ____________________ Year 2 ________ Year 1 Sales ………………… $3,522 …………… $3,283 Accounts receivable ……. 81 ………………… 68 Assume that accounts receivable (in millions) were $74 million at the beginning of Year 1. a. Compute the accounts receivable turnover for Year 2 and Year 1. Round to two decimal places. b. Compute the day’s sales in receivables for Year 2 and Year 1. Use 365 days and round to one decimal place. c. What conclusions can be drawn from these analyses regarding American Eagle Outfitters’ efficiency in collecting receivables? American Eagle Outfitters Inc sells clothing accessories and personal care
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter9: Receivables
Section: Chapter Questions
Problem 26E: Ralph Lauren Corporation designs, markets, and distributes a variety of apparel, home decor,...
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American Eagle Outfitters Inc sells clothing accessories and personal care
American Eagle Outfitters, Inc. sells clothing, accessories, and personal care products for men and women through its retail stores. American Eagle reported the following data (in millions) for two recent years:
____________________ Year 2 ________ Year 1
Sales ………………… $3,522 …………… $3,283
Accounts receivable ……. 81 ………………… 68
Assume that accounts receivable (in millions) were $74 million at the beginning of Year 1.
a. Compute the accounts receivable turnover for Year 2 and Year 1. Round to two decimal places.
b. Compute the day’s sales in receivables for Year 2 and Year 1. Use 365 days and round to one decimal place.
c. What conclusions can be drawn from these analyses regarding American Eagle Outfitters’ efficiency in collecting receivables?
American Eagle Outfitters Inc sells clothing accessories and personal care
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