Question 14 During Year 2, Acme Company reports sales revenue of $143,820 and cost of goods sold of $93,500. All sales are made on account. The inventory balance was $13,300 at the end of Year 1 and $14,200 at the end of Year 2. The accounts receivable balance was $14,400 at the end of Year 1 and $13,800 at the end of Year 2. What is the length of Acme's operating cycle in Year 2? Round to one decimal place. 94.6 days 93.6 days 91.5 days ○ 89.5 days

Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter6: Receivables And Inventories
Section: Chapter Questions
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Question 14
During Year 2, Acme Company reports sales revenue of $143,820
and cost of goods sold of $93,500. All sales are made on account.
The inventory balance was $13,300 at the end of Year 1 and $14,200
at the end of Year 2. The accounts receivable balance was $14,400 at
the end of Year 1 and $13,800 at the end of Year 2. What is the length
of Acme's operating cycle in Year 2? Round to one decimal place.
94.6 days
93.6 days
91.5 days
○ 89.5 days
Transcribed Image Text:Question 14 During Year 2, Acme Company reports sales revenue of $143,820 and cost of goods sold of $93,500. All sales are made on account. The inventory balance was $13,300 at the end of Year 1 and $14,200 at the end of Year 2. The accounts receivable balance was $14,400 at the end of Year 1 and $13,800 at the end of Year 2. What is the length of Acme's operating cycle in Year 2? Round to one decimal place. 94.6 days 93.6 days 91.5 days ○ 89.5 days
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