Thompson Electronics has annual sales of $720,000 and a cost of goods sold of $432,000. The average accounts receivable balance is $24,000. How many days on average does it take the firm to collect its accounts receivable?

Thompson Electronics has annual sales of $720,000 and a cost of goods sold of $432,000. The average accounts receivable balance is $24,000. How many days on average does it take the firm to collect its accounts receivable?

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter21: Supply Chains And Working Capital Management

Section: Chapter Questions

Problem 2P: Medwig Corporation has a DSO of 17 days. The company averages 3,500 in sales each day (all customers...

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Quick answer of this accounting questions

Thompson Electronics has annual sales of $720,000 and a cost of
goods sold of $432,000. The average accounts receivable balance is
$24,000.
How many days on average does it take the firm to collect its
accounts receivable?

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