Calculating the Average Collection Period [LO2] Ortiz Lumber Yard has a current accounts receivable balance of $431,287. Credit sales for the year just ended were $3,943,709. What is the receivables turnover? The days’ sales in receivables? How long did it take on average for credit customers to pay off their accounts during the past year?

Q: Net credit sales for Turner Company are $200,000 for the year and the average accounts receivable…

A: Average collection period = Accounts Receivable Turnover Ratio =

Q: YZ's receivables turnover is 24x. The accounts receivable at year-end are $410,000. The average…

A: Account receivables are payment due to the customers that are not received yet and will be received…

Q: Accounts Receivable Analysis A company reports the following: Sales $275,940 Average accounts…

A: The accounts receivables turnover ratio tells about the efficiency of the business to convert its…

Q: Accounts Receivable Analysis A company reports the following: Sales $439,460 Average accounts…

A:

Q: What is a meaning of decrease in accounts receivable of $16,000 for the year ?

A: Accounts receivable is an amount receivable from debtors.

Q: What is the receivables turnover?

A: Turnover means the is the amount of sales by the business. It is sometimes called as income of the…

Q: A firm had credit sales of $15,750,000 last year and its days sales outstanding was 65 days.  What…

A: Given, Credit sales = $15,750,000. Days sales outstanding = 65 days.

Q: Accounts receivable turnover and days’ sales in receivables For two recent years, Robinhood Company…

A: Accounts receivable turnover = Net Credit sales / Average account receivable  Accounts receivable…

Q: The Malibu Corporation has annual credit sales of $36 million. The average collection period is 38…

A: Day sales in receivables= 365/receivables turnover38 =365/ receivables turnoverreceivables turnover=…

Q: Accounts receivable turnover and days' sales in receivables For two recent years, Robinhood Company…

A: Average account receivable = (Beginning account receivable + Ending account receivable)/2 20Y9 =…

Q: Wheeling Incorporated uses the aging of accounts receivable method. Its estimate of uncollectible…

A: Introduction: A bad debt expense is recognized when a receivable is no longer collectible because a…

Q: Bonita Corporationreported net credit sales of $3447600 for this year. The company had accounts…

A: AVERAGE COLLECTION PERIOD Account Receivable collection period measure the quality of debtors…

Q: Accounts receivable management This table, shows that Blair Supply had an end-of-year accounts…

A: On a company's balance sheet, accounts receivable are categorized as a current asset because of its…

Q: Need help

A: We calculate Tamarisk's average net accounts receivable by using the formula:Accounts Receivable…

Q: A firm has $400,000 in credit sales and $100,000 in accounts receivable.Compute accounts receivable…

A:

Q: average investment in accounts receivable?

A: Average investment in accounts receivable = Accounts receivable average collection period * Annual…

Q: Los Altos, Inc. has an accounts receivable turnover of 20. What is the company's average collection…

A: Formula: Average collection period = 365 days / Accounts receivable turnover. Division of 365 days…

Q: La Reina de Oriente, S.A., a company that sells sausages, knows that it pays its suppliers 10 times…

A: “Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: What relationship exists between the average collection period and accounts receivable turnover?…

A: Introduction:- Accounts receivable turnover ratio tells the number of times a company collects its…

Q: Smart and Smiley Incorporated has an average collection period of 74 days. What is the accounts…

A: Accounts receivable turnover ratio refers to the ratio which describes the period which is consumed…

Q: Dyl Pickle Inc. had credit sales of $15,700,000 last year and its days sales outstanding was DSO =…

A: Days sales outstanding measures the total days the average accounts receivables were outstanding…

Q: accounts receivable turno ratio of a company is 2, annual credit sales IS $ nat is the average…

A: Given, Accounts receivable turnover = 2 Annual credit sales = $719550

Q: 4. Assume a business sold a total of $839,500 during the current year and its accounts receivable…

A: Number of days' sales in receivables is the number of days it take to collect the accounts…

Q: ccounts receivable turnover and days' sales in receivables or two recent years, Robinhood Company…

A: The account receivables turnover ratio is calculated as the net sales divided by average account…

Q: Accounts receivable analysis A company reports the following: Sales Average accounts receivable…

A: (a) Accounts receivable turnover=sales/ Average accounts…

Q: Red Sun Company has a current accounts receivable balance of $350,000. Credit sales for the year…

A: The average collection period, also known as the day's sales outstanding (DSO), is a measure of how…

Q: Michaels Corp. has a current accounts receivable balance of $623,410. Credit sales for the year just…

A: Introduction: Accounts receivable turnover is the number of times a year that a business pays its…

Q: La Resolana, S.A., has credit sales of $180,000 per year, with net payment terms of 30 days, which…

A: Accounts receivables are the current assets of the company which arises due to sale made on credit…

Q: Q6. Pujols Lumber Yard has a current accounts receivable balance of $394,539. Credit sales for the…

A: First, find the receivable turnover ratio ( RTOR) = Credit Sales / Accounts receivable  Given credit…

Q: Con-yay & JZ Incorporated has an average collection period (accounts receivable/daily credit sales)…

A: Average collection period is one of efficiency ratio being used in business. This shows it would…

Q: Trout Lumber Yard has a current accounts receivable balance of $440,516. Credit sales for the year…

A: Receivables turnover = Credit sales / Receivables   Days' sales in receivables = 365 days /…

Q: The financial statements of the Blue Spruce Corp. reports net sales of $372000 and accounts…

A: The average collection period indicates the time period the business takes to collect amounts from…

Q: Accounts Receivable Turnover and Average Collection Period The Forrester Corporation disclosed the…

A: Accounts receivable turnover is the measure that helps the entity to know its efficiency in…

Q: Whispering Winds Corp. had net credit sales during the year of $1309750 and cost of goods sold of…

A: Accounts receivable turnover is the measure that helps the entity to know its efficiency in…

Q: A company reports the following: Sales $429,240 Average accounts receivable (net) 30,660 Determine…

A: Ratio analysis is a method of measuring the financial position of the organization with different…

Conversion Cycle

Conversion cycle is also known as cash cycle or net operating cycle. Conversion cycle refers to how much time a company takes to turn its investments which is done from stock or any other financial resources into cash flows from sales.