Hendrix Corporation had annual sales of $75 million, which occurred evenly throughout the 365 days of the year. Its accounts receivable balance averaged $3 million. How long, on average, does it take the firm to collect on its sales?
Hendrix Corporation had annual sales of $75 million, which occurred evenly throughout the 365 days of the year. Its accounts receivable balance averaged $3 million. How long, on average, does it take the firm to collect on its sales?
Chapter3: Evaluation Of Financial Performance
Section: Chapter Questions
Problem 3P
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How long, on average, does it take the firm to collect on its sales?

Transcribed Image Text:Hendrix Corporation had annual sales of $75 million, which
occurred evenly throughout the 365 days of the year. Its accounts
receivable balance averaged $3 million.
How long, on average, does it take the firm to collect on its sales?
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