Based on the following data for the current year, what is the number of days' sales in accounts receivable? Item Sales on account during the year Cost of merchandise sold during the year Amount ($) $720,000 $450,000 Accounts receivable, beginning of year $50,000 Accounts receivable, end of year $40,000 Inventory, beginning of year $100,000 Inventory, end of year $120,000 a. 5.0 b. 8.3 c. 15.2 d. 22.8

Based on the following data for the current year, what is the number of days' sales in accounts receivable? Item Sales on account during the year Cost of merchandise sold during the year Amount ($) $720,000 $450,000 Accounts receivable, beginning of year $50,000 Accounts receivable, end of year $40,000 Inventory, beginning of year $100,000 Inventory, end of year $120,000 a. 5.0 b. 8.3 c. 15.2 d. 22.8

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 56P: The following selected information is taken from the financial statements of Arnn Company for its...

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