Tungsten Company, Incorporated, sells heavy construction equipment. There are 15,000 shares of capital stock outstanding. The annual fiscal period ends on December 31. The following condensed trial balance was taken from the general ledger on December 31, Current Year: Account Titles Cash Accounts receivable (net) Inventory, ending Operational assets Accumulated depreciation Liabilities Capital stock Retained earnings, January 1, Current Year Sales revenue Sales returns and allowances Cost of goods sold Selling expense Administrative expense Bad debt expense Sales discounts Income tax expense Totals Debit $34,400 Credit 16,300 53,500 41,800 $18,500 25,600 73,800 14,080 148,500 6,700 79,200 15,300 15,700 2,700 6,800 8,080 $280,480 $280,480 2. The beginning balance in Accounts Receivable (net) was $16,400. Compute the receivables turnover ratio. Numerator Denominator Receivables Turnover Ratio times
Tungsten Company, Incorporated, sells heavy construction equipment. There are 15,000 shares of capital stock outstanding. The annual fiscal period ends on December 31. The following condensed trial balance was taken from the general ledger on December 31, Current Year: Account Titles Cash Accounts receivable (net) Inventory, ending Operational assets Accumulated depreciation Liabilities Capital stock Retained earnings, January 1, Current Year Sales revenue Sales returns and allowances Cost of goods sold Selling expense Administrative expense Bad debt expense Sales discounts Income tax expense Totals Debit $34,400 Credit 16,300 53,500 41,800 $18,500 25,600 73,800 14,080 148,500 6,700 79,200 15,300 15,700 2,700 6,800 8,080 $280,480 $280,480 2. The beginning balance in Accounts Receivable (net) was $16,400. Compute the receivables turnover ratio. Numerator Denominator Receivables Turnover Ratio times
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Vikarmbhai
Transcribed Image Text:Tungsten Company, Incorporated, sells heavy construction equipment. There are 15,000 shares of capital stock
outstanding. The annual fiscal period ends on December 31. The following condensed trial balance was taken from the
general ledger on December 31, Current Year:
Account Titles
Cash
Accounts receivable (net)
Inventory, ending
Operational assets
Accumulated depreciation
Liabilities
Capital stock
Retained earnings, January 1, Current
Year
Sales revenue
Sales returns and allowances
Cost of goods sold
Selling expense
Administrative expense
Bad debt expense
Sales discounts
Income tax expense
Totals
Debit
$34,400
Credit
16,300
53,500
41,800
$18,500
25,600
73,800
14,080
148,500
6,700
79,200
15,300
15,700
2,700
6,800
8,080
$280,480
$280,480
2. The beginning balance in Accounts Receivable (net) was $16,400. Compute the receivables turnover ratio.
Numerator
Denominator
Receivables Turnover Ratio
times
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education