ACCOUNTING(LL)
ACCOUNTING(LL)
7th Edition
ISBN: 9781119769736
Author: Kimmel
Publisher: WILEY
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Chapter 12, Problem 5Q
To determine

Describe the importance of certain non-cash transactions and to state the disclosure of them.

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The following information is taken from the financial statements of a company for the current year: Current assets $ 3,95,000 Total assets $ 8,90,000 Cost of goods sold $ 6,50,000 Gross profit $ 2,00,000 $ 1,20,000 Net income The gross profit percentage for the current year: A. 24% B. 31% C. 76% D. 60%.
Zeel Corporation has an inventory period of 48 days, an accounts receivable period of 8 days, and an accounts payable period of 5 days. The company's annual sales are $195,620. How many times per year does the company turn over its accounts receivable?
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