Miyagi Data, Inc., sells earnings forecasts for Japanese securities. Its credit tem 3/20, net 40. Based on experience, 65 percent of all customers will take the disca a. What is the average collection period? (Do not round intermediate calculation round your answer to 2 decimal places, 32.16.) b. If the company sells 1,250 forecasts every month at a price of $2,350 each, wh. average daily balance sheet amount in accounts receivable? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 3 Answer is complete but not entirely correct. a. b. Average collection period Average accounts receivable 17 days 1,542,575.34
Miyagi Data, Inc., sells earnings forecasts for Japanese securities. Its credit tem 3/20, net 40. Based on experience, 65 percent of all customers will take the disca a. What is the average collection period? (Do not round intermediate calculation round your answer to 2 decimal places, 32.16.) b. If the company sells 1,250 forecasts every month at a price of $2,350 each, wh. average daily balance sheet amount in accounts receivable? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 3 Answer is complete but not entirely correct. a. b. Average collection period Average accounts receivable 17 days 1,542,575.34
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter22: Providing And Obtaining Credit
Section: Chapter Questions
Problem 4MC
Related questions
Question
![Miyagi Data, Inc., sells earnings forecasts for Japanese securities. Its credit terms are
3/20, net 40. Based on experience, 65 percent of all customers will take the discount.
a. What is the average collection period? (Do not round intermediate calculations and
round your answer to 2 decimal places, 32.16.)
b. If the company sells 1,250 forecasts every month at a price of $2,350 each, what is its
average daily balance sheet amount in accounts receivable? (Do not round
intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Answer is complete but not entirely correct.
a.
Average collection period
b. Average accounts receivable)
$
17 days
1,542,575.34](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F29ea24ee-65df-4ea1-ab5d-b4f8f0d1cedc%2Fa8ebb034-5ef1-42dc-9f67-ef6d638ee3d2%2Fipsn8yy_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Miyagi Data, Inc., sells earnings forecasts for Japanese securities. Its credit terms are
3/20, net 40. Based on experience, 65 percent of all customers will take the discount.
a. What is the average collection period? (Do not round intermediate calculations and
round your answer to 2 decimal places, 32.16.)
b. If the company sells 1,250 forecasts every month at a price of $2,350 each, what is its
average daily balance sheet amount in accounts receivable? (Do not round
intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Answer is complete but not entirely correct.
a.
Average collection period
b. Average accounts receivable)
$
17 days
1,542,575.34
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 4 steps with 2 images
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
![Intermediate Financial Management (MindTap Course…](https://www.bartleby.com/isbn_cover_images/9781337395083/9781337395083_smallCoverImage.gif)
Intermediate Financial Management (MindTap Course…
Finance
ISBN:
9781337395083
Author:
Eugene F. Brigham, Phillip R. Daves
Publisher:
Cengage Learning
![Intermediate Financial Management (MindTap Course…](https://www.bartleby.com/isbn_cover_images/9781337395083/9781337395083_smallCoverImage.gif)
Intermediate Financial Management (MindTap Course…
Finance
ISBN:
9781337395083
Author:
Eugene F. Brigham, Phillip R. Daves
Publisher:
Cengage Learning