A company reports the following: Sales $433,620 Average accounts receivable (net) 16,060 Determine (a) the accounts...

A company reports the following:

Sales	$433,620
Average accounts receivable (net)	16,060

Determine (a) the accounts receivable turnover and (b) 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.

a. Accounts receivable turnover
b. Number of days' sales in receivables	days

Expert Solution

Accounts Receivable Turnover
Numerator	/	denominator	Accounts Receivable Turnover
Net Credit sales	/	Average Accounts Receivable	Accounts Receivable Turnover
$ 4,33,620.00	/	$ 16,060.00	27	times

Number of days sales in Receivables
Numerator	/	denominator	Number of days sales in Receivables
Days in year	/	Accounts receivables turnover	Number of days sales in Receivables
365	/	27	13.5	days

ekkarill92 answered 1 year ago

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