Use the following selected financial information for Cooler Company to answer the question: Net sales                                            2,870 Cost of goods sold                            1,985 Gross profit                                          885 Operating expenses                             620 Operating profit                                    265 Interest expense                                      40 Earnings before taxes                            225 Income tax expense                                80 Net profit                                               145 Accounts receivable                                70 Inventory                                                150 Total current assets                                260 Total assets                                             860 Accounts payable                                    85 Total current liabilities                           130 Long-term debt                                      240 Total liabilities                                         370 Total stockholders' equity                      490 Total liabilities and equity                       860 Calculate the average collection period. Show your work.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Use the following selected financial information for Cooler Company to answer the question:

Net sales                                            2,870

Cost of goods sold                            1,985

Gross profit                                          885

Operating expenses                             620

Operating profit                                    265

Interest expense                                      40

Earnings before taxes                            225

Income tax expense                                80

Net profit                                               145

Accounts receivable                                70

Inventory                                                150

Total current assets                                260

Total assets                                             860

Accounts payable                                    85

Total current liabilities                           130

Long-term debt                                      240

Total liabilities                                         370

Total stockholders' equity                      490

Total liabilities and equity                       860

Calculate the average collection period.

Show your work.

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