Orion Dynamics has $32,000 in accounts receivable and $180,000 in total assets. The total asset turnover ratio is 2.0, and the profit margin is 5%. What are the days' sales in receivables for Orion Dynamics?

Orion Dynamics has $32,000 in accounts receivable and $180,000 in total assets. The total asset turnover ratio is 2.0, and the profit margin is 5%. What are the days' sales in receivables for Orion Dynamics?

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....

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Question

Financial accounting

Orion Dynamics has $32,000 in accounts receivable and
$180,000 in total assets. The total asset turnover ratio is 2.0, and
the profit margin is 5%.
What are the days' sales in receivables for Orion Dynamics?

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