A company reports the following information for the year: Net credit sales Average accounts receivable $110,000 14,000 Cash collections on credit sales 96,000 What is the company's receivables turnover ratio? a. 6.9. b. 0.1. c. 7.9. d. 14.9.

A company reports the following information for the year: Net credit sales Average accounts receivable $110,000 14,000 Cash collections on credit sales 96,000 What is the company's receivables turnover ratio? a. 6.9. b. 0.1. c. 7.9. d. 14.9.

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 14BEA: Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000....

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Ans

A company reports the following information for the year:
Net credit sales
Average accounts receivable
$110,000
14,000
Cash collections on credit sales 96,000
What is the company's receivables turnover ratio?
a. 6.9.
b. 0.1.
c. 7.9.
d. 14.9.

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