At the end of the current year, the entity reported the following financial data: Total Assets 1,200,000 Total assets turnover ratio 1.7x Fixed assets turnover ratio 2x Current ratio 2.5x Days Sales outstanding 30 days Inventory turnover ratio 4x Gross profit margin on sales 20% Note: Calcuation is based on a 365-day year. How much should be the accounts receivable balance?

At the end of the current year, the entity reported the following financial data: Total Assets 1,200,000 Total assets turnover ratio 1.7x Fixed assets turnover ratio 2x Current ratio 2.5x Days Sales outstanding 30 days Inventory turnover ratio 4x Gross profit margin on sales 20% Note: Calcuation is based on a 365-day year. How much should be the accounts receivable balance?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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