A manufacturing company had an accounts receivable balance of $320,000 at the beginning of the year and $400,000 at the end of the year. The total credit sales during the year were $2,880,000. What was the average collection period in days (round to the nearest number of days)? A. 38 days B. 42 days C. 46 days D. 49 days

A manufacturing company had an accounts receivable balance of $320,000 at the beginning of the year and $400,000 at the end of the year. The total credit sales during the year were $2,880,000. What was the average collection period in days (round to the nearest number of days)? A. 38 days B. 42 days C. 46 days D. 49 days

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter7: Analysis Of Financial Statements

Section: Chapter Questions

Problem 1P: Greene Sisters has a DSO of 20 days. The companys average daily sales are 20,000. What is the level...

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