Eddy Enterprises had net credit sales during the year of $950,000 and cost of goods sold of $600,000. The beginning balance in receivables was $120,000, and the ending balance in receivables was $180,000. What was the receivables turnover ratio?

Eddy Enterprises had net credit sales during the year of $950,000 and cost of goods sold of $600,000. The beginning balance in receivables was $120,000, and the ending balance in receivables was $180,000. What was the receivables turnover ratio?

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 14BEA: Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000....

See similar textbooks

Related questions

Q: General Accounting

A: Step 1:First calculate the equity multiplier: ROE = Profit margin * Total assets turnover * Equity…

Q: Need help

A: Step 1: Calculate Cost of Goods Manufactured (COGM)• COGM = Total Manufacturing Costs + Beginning…

Q: General accounting

A: Key Components of General Accounting:Recording Transactions - Every financial event (e.g., sales,…

Q: Logan Enterprises purchased a forklift for $45,000 on January 1, 2018. The forklift has an expected…

A: Step 1: Identify the given valuesStep 2: Apply the units-of-activity depreciation formulaStep 3:…

Q: Compute the gross profit ratio on these financial accounting question

A: Step 1: Define Gross Profit RatioThe Gross Profit Ratio is a financial metric that measures a…

Q: Need help

A: Step 1: Formula Cost of goods sold = Goods available for sale - Ending inventoryGoods available for…

Q: What is the amount of the dividend to be paid one year on these financial accounting question?

A: To find the dividend to be paid in one year, we can use the dividend yield formula: Dividend Yield =…

Q: Calculate depreciation expense per hour?

A: The units-of-activity method calculates depreciation expense based on actual usage rather than time.…

Q: General Accounting

A: Step 1: Define Return on Equity (ROE)Return on Equity (ROE) measures a company's profitability…

Q: Financial Accounting

A: Step 1: Define Net Realizable Value (NRV)Net Realizable Value (NRV) of accounts receivable refers to…

Q: The amount of cash paid to supplier for inventory is?

A: Explanation of Cost of Goods Sold (COGS):Cost of Goods Sold (COGS) represents the direct costs of…

Q: financial accounting 1.2

A: To calculate the total equity, we use the basic accounting…

Q: If you give me correct answer this financial accounting question I will give you helpful rate

A: To determine the effective rate of interest, we use the formula for the present value of a…

Q: hello teacher please solve questions

A: The Return on Assets (ROA) formula is:ROA = Net Income / Total AssetsWe are given the ROA (6.2%) and…

Q: How much cash was received from customer during the year based on the given information??

A: To calculate the cash received from customers during the year, we use the following formula: Cash…

Q: Expected manufacturing overhead:1200000, expected machine hours:25000

A: Explanation of Predetermined Overhead Rate: A predetermined overhead rate is a calculated rate used…

Q: What is Jordan ROE?

A: Total Asset TurnoverThe formula for Total Asset Turnover is:Total Asset Turnover=Sales/Total…

Q: PLEASE DO THE LAST ROW!!

A: 1. Unsecured BondsThe bond pays quarterly interest, so we use the present value of an annuity…

Q: If a business has revenue of $677,000, cost of goods sold of $214,000, operating expenses of…

A: To calculate net income, use the following formula:Net Income= Revenue− Cost of Goods Sold…

Q: Fixed asset

A: Concept of Fixed AssetA fixed asset is a long-term tangible resource used by a business for its…

Q: Financial account questions

A: Gross Profit is the difference between sales revenue and the cost of goods sold (COGS), representing…

Q: Can you please solve this general accounting problem?

A: Step 1: Define Degree of Operating Leverage (DOL)The Degree of Operating Leverage (DOL) measures how…

Q: Compute the following requirements for this financial accounting question

A: Step 1: Define Standard Direct Materials CostThe standard direct materials cost per unit represents…

Q: Cost per unit under absorption costing

A: Explanation of Absorption Costing:Absorption costing is a costing method where all manufacturing…

Q: What is the monthly cost for 28 gigabytes of data?

A: The monthly cost is a linear function of data usage, meaning we can express it in the form:C(x) = mx…

Q: What are the net income and the net cash flow ? General accounting question

A: Step 1: Information givenOperating income (EBIT) = $950,000Depreciation expense = $285,000Tax rate =…

Q: help me general account tutor

A: 1. What is ROE?- Return on Equity (ROE) is a financial ratio that measures how efficiently a company…

Q: At the beginning of the year, a company estimates the following manufacturing costs for the next…

A: Concept of Factory OverheadFactory overhead includes all indirect manufacturing costs that cannot be…

Q: Ans ?? General Accounting

A: To calculate the cost per equivalent unit for materials using the weighted average method, we use…

Q: Want to this question answer general accounting

A: Step 1: Define Outstanding SharesOutstanding shares refer to the number of shares issued by a…

Q: What is net profit?

A: Step 1: Introduction to cost accountingThe field of accounting known as cost accounting is utilized…

Q: Given answer? ?

A: Step 1: Define Days Sales Outstanding (DSO)Days Sales Outstanding (DSO) measures the average number…

Q: ?!

A: Step 1: Total variable costs per unit Total variable costs per unit = Direct materials per helmet +…

Q: What are the budgeted cash payments for October on these financial accounting question?

A: Step 1: Define Budgeted Cash PaymentsBudgeted cash payments represent the actual cash outflows a…

Q: Please give me correct answer this financial accounting

A: Step 1: Define Earnings Per ShareEarnings per share, as the name suggests, are determined by…

Q: Accounts receivable:130000, Accounts payable:90000

A: Explanation of Trial Balance: A trial balance is a bookkeeping worksheet that lists all the account…

Q: Actual profit? Accounting question

A: Step 1: Compute Actual SalesThe margin of safety percentage represents the percentage by which…

Q: General Accounting question

A: Step 1: Define Maturity ValueMaturity Value is the total amount due at the end of the loan or note…

Q: General Accounting problem

A: Compute the reduction in Accounts Receivable.Reduction in AR = Average accounts receivable x…

Q: The Sugar Shack reports net income of $250,000, sales of $7,500,000, and average assets of $730,000.…

A: Concept of Net IncomeNet income represents the total profit a company earns after subtracting all…

Q: A company has sales of $752,800 and a cost of goods sold of $301,800 Its gross profit equals __.

A: Step 1: Recall the gross profit formula.Sales revenuexxxLess: Cost of goods sold(xxx)Gross profitxxx…

Q: Hiroshi mart has the following financial information?

A: Explanation of Net Purchases: Net Purchases represents the final cost of merchandise bought during a…

Q: Compute the variable cost per unit

A: Explanation of Variable Manufacturing Cost: Variable manufacturing cost represents the production…

Q: What is the length of the cash cycle in this case???

A: Step 1:First, calculate the inventory period: From the date of purchase to the date of sale is known…

Q: Answer this question

A: To calculate the cash provided by or used by investing activities, we need to consider the…

Q: Annual depreciation under the stright line method?

A: Explanation of Straight-Line Depreciation:The straight-line depreciation method allocates an equal…

Q: Profit?

A: 1. Total profit = $2402. Profit percentage = 30%3. Let's find the total cost: Total cost = Total…

Q: Makenna is a waiter at Albicious Foods in South Carolina. Makenna is single with one other dependent…

A: 1. What is Makenna's Gross Pay?Makenna is a tipped employee at a restaurant in South Carolina. She…

Q: Want to this question answer general Accounting

A: Step 1: Define STRIPSSTRIPS (Separate Trading of Registered Interest and Principal Securities) are…

Q: Help

A: Step 1: Definition of Accounting EquationAn accounting equation is used to depict the relationship…

Question

What was the receivables turnover ratio of this general accounting question?

Eddy Enterprises had net credit sales during the year of $950,000 and cost of
goods sold of $600,000. The beginning balance in receivables was $120,000, and
the ending balance in receivables was $180,000.
What was the receivables turnover ratio?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

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.
Montalcino Company had net sales of 54,000,000. Montalcino had the following balances: 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.
Whalen Company had net sales of 125,500,250,000. Whalen had the following balances: Required: Note: Round answers to two decimal places. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.
The following selected information is taken from the financial statements of Arnn Company for its most recent year of operations: During the year, Arnn had net sales of 2.45 million. The cost of goods sold was 1.3 million. Required: Note: Round all answers to two decimal places. 1. Compute the current ratio. 2. Compute the quick or acid-test ratio. 3. Compute the accounts receivable turnover ratio. 4. Compute the accounts receivable turnover in days. 5. Compute the inventory turnover ratio. 6. Compute the inventory turnover in days.
What was the receivables turnover ratio for this financial accounting question?
Abc
heridan Company had net credit sales during the year of $1047750 and cost of goods sold of $484000. The balance in accounts receivable at the beginning of the year was $110400 and at the end of the year was $143600. What was the accounts receivable turnover?
What is the account receivable turnover rate?
Twist Corp. has a current accounts receivable balance of $357,615. Credit sales for the year just ended were $2,936,600. a. What is the receivables turnover? b. What is the days' sales in receivables?
Kimberly, Inc. has accounts receivable of $28,500, total assets of $342,000, cost of goods sold of $195,200, and a capital intensity ratio of 1.14. What is the accounts receivable turnover rate?
What is the receivable turnover ratio?
ord Corporation had net credit sales during the year of $1116550 and cost of goods sold of $448000. The balance in accounts receivable at the beginning of the year was $114000 and at the end of the year was $160000. What was the accounts receivable turnover? 6.9 8.2 5.0 10.2