Practice Help The following information is available for Market, Inc. and Supply, Inc. at December 31:AccountsMarket, Inc.$ 58,0002,848Supply, Inc.$ 77,2002,656927,100Accounts receivableAllowance for doubtful accountsSales revenue656,960Requireda. What is the accounts receivable turnover for each of the companies?b. What is the average days to collect the receivables?c. Assuming both companies use the percent of receivables allowance method, what is the estimated percentage of uncollectibleaccounts for each company? Complete this question by entering your answers in the tabs below.Required ARequired BRequired CWhat is the accounts receivable turnover for each of the companies? (Round your answers to 1 decimal place.)Accounts ReceivableTurnoverCompany11.3 times12.0 timesMarketSupply

Solution:- a)Calculation of the accounts receivable turnover for each of the companies as follows:- Note:- Calculate net accounts receivable as follows:- Market Inc. $58,000 – $2,848 = $55,152 Supply Inc. $77,200 – $2,656 = $74,544Calculation of ratio as follows:- Company Sales ÷ Accounts Receivable Market $656,960 ÷ $55,152 = 11.9 times Supply $927,100 ÷ $74,544 = 12.4 timesb)Calculation of the average days collection for each of the companies as follows:- Company 365 ÷ Accounts receivables turnover ratio Market 365 ÷ 11.9 = 30.6 days Supply 365 ÷ 12.4 = 29.4 days c) Assuming both companies use the percent of receivables allowance method, what is the estimated percentage of uncollectible accounts for each company as follows:- Market Inc. $2,848 ÷ $58,000 x 100 = 4.9% Supply Inc. $2,656 ÷ $77,200 x 100 = 3.4% I hope helpful to you.. If you are satisfied.. Support me.. Thank you..