Lumen Co. has annual credit sales of $438,000. Customers take 45 days on average to pay. 1. What is the average receivables balance? 2. What is the receivables turnover? 3.If customers paid in 15 days instead, what would the average receivables balance be?

Lumen Co. has annual credit sales of $438,000. Customers take 45 days on average to pay. 1. What is the average receivables balance? 2. What is the receivables turnover? 3.If customers paid in 15 days instead, what would the average receivables balance be?

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter21: Supply Chains And Working Capital Management

Section: Chapter Questions

Problem 2P: Medwig Corporation has a DSO of 17 days. The company averages 3,500 in sales each day (all customers...

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hello teacher please solve question

Lumen Co. has annual credit sales of $438,000.
Customers take 45 days on average to pay.
1. What is the average receivables balance?
2. What is the receivables turnover?
3.If customers paid in 15 days instead, what
would the average receivables balance be?

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