What is their collection period?? Mobile Kitchen Express has annual sales of $280,000, cost of goodssold of 45% of sales, and a profit margin of 4.8%. If their averageaccounts receivable balance is $32,000, what is their collectionperiod?

Step 1: Definition of Collection PeriodThe Collection Period (also known as the average collection…

Answered: Mobile Kitchen Express has annual sales…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 19Q: The following is select account information for Sunrise Motors. Sales: $256,400; Sales Returns and...

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Mobile Kitchen Express has annual sales of $280,000, cost of goods sold of 45% of sales, and a profit margin of 4.8%. If their average accounts receivable balance is $32,000, what is their collection period?