Based on the following data for the current year, what is the number of days' sales in accounts receivable? Assume a year has 360 days. Account Sales on account during the year Amount $825,000 Cost of merchandise sold during the year $412,500 Account receivable, the beginning of year $93,000 Account receivable, end of year Inventory, the beginning of Inventory, end of year year $87,000 $125,000 $138,000

Based on the following data for the current year, what is the number of days' sales in accounts receivable? Assume a year has 360 days. Account Sales on account during the year Amount $825,000 Cost of merchandise sold during the year $412,500 Account receivable, the beginning of year $93,000 Account receivable, end of year Inventory, the beginning of Inventory, end of year year $87,000 $125,000 $138,000

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 27BEB: Last year, Tobys Hats had net sales of 45,000,000 and cost of goods sold of 29,000,000. Tobys had...

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Last year, Tobys Hats had net sales of 45,000,000 and cost of goods sold of 29,000,000. Tobys had the following balances: Refer to the information for Tobys on the previous page. Required: Note: Round answers to one decimal place. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.
Fitbands estimated sales are: What are the balances in accounts receivable for January, February, and March if 65% of sales is collected in the month of sale, 25% is collected the month after the sale, and 10% is second month after the sale?
Starlight Enterprises has net credit sales for 2019 in the amount of $2,600,325, beginning accounts receivable balance of $844,260, and an ending accounts receivable balance of $604,930. Compute the accounts receivable turnover ratio and the number of days sales in receivables ratio for 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Starlight Enterprises if the industry average is 1.5 times and the number of days sales ratio is 175 days?
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What is the number of day's sales in accounts receivable?