Accounts receivable turnover Accounts receivable turnover is a liquidity measure of accounts receivable in times, which is calculated by dividing the net credit sales by the average amount of net accounts receivables. In other words, it indicates the number of times the average amount of net accounts receivables collected during a particular period. Average collection period: Average collection period indicates the number of days taken by a business, to collect its outstanding amount of accounts receivable on an average. To calculate: The accounts receivable turnover, and average collection period of Corporation F for the year 2017.

Question

Want to see the full answer?

Answer 1

Question

Chapter 8, Problem 8.14E

(a)

To determine

Accounts receivable turnover

Accounts receivable turnover is a liquidity measure of accounts receivable in times, which is calculated by dividing the net credit sales by the average amount of net accounts receivables. In other words, it indicates the number of times the average amount of net accounts receivables collected during a particular period.

Average collection period:

Average collection period indicates the number of days taken by a business, to collect its outstanding amount of accounts receivable on an average.

To calculate: The accounts receivable turnover, and average collection period of Corporation F for the year 2017.

(b)

To determine

To find out: whether accounts receivable is a material component of Corporation F’s current assets in 2017.

(c)

To determine

To evaluate: The balance in Corporation F’s allowance for doubtful accounts.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

General accounting question

I need help with this general accounting question using standard accounting techniques.

Please explain the solution to this general accounting problem with accurate explanations.

Answer 2

Question

Chapter 8, Problem 8.14E

(a)

To determine

Accounts receivable turnover

Accounts receivable turnover is a liquidity measure of accounts receivable in times, which is calculated by dividing the net credit sales by the average amount of net accounts receivables. In other words, it indicates the number of times the average amount of net accounts receivables collected during a particular period.

Average collection period:

Average collection period indicates the number of days taken by a business, to collect its outstanding amount of accounts receivable on an average.

To calculate: The accounts receivable turnover, and average collection period of Corporation F for the year 2017.

(b)

To determine

To find out: whether accounts receivable is a material component of Corporation F’s current assets in 2017.

(c)

To determine

To evaluate: The balance in Corporation F’s allowance for doubtful accounts.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 8, Problem 8.14E

(a)

To determine

Accounts receivable turnover

Accounts receivable turnover is a liquidity measure of accounts receivable in times, which is calculated by dividing the net credit sales by the average amount of net accounts receivables. In other words, it indicates the number of times the average amount of net accounts receivables collected during a particular period.

Average collection period:

Average collection period indicates the number of days taken by a business, to collect its outstanding amount of accounts receivable on an average.

To calculate: The accounts receivable turnover, and average collection period of Corporation F for the year 2017.

(b)

To determine

To find out: whether accounts receivable is a material component of Corporation F’s current assets in 2017.

(c)

To determine

To evaluate: The balance in Corporation F’s allowance for doubtful accounts.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 8, Problem 8.14E

(a)

To determine

Accounts receivable turnover

Accounts receivable turnover is a liquidity measure of accounts receivable in times, which is calculated by dividing the net credit sales by the average amount of net accounts receivables. In other words, it indicates the number of times the average amount of net accounts receivables collected during a particular period.

Average collection period:

Average collection period indicates the number of days taken by a business, to collect its outstanding amount of accounts receivable on an average.

To calculate: The accounts receivable turnover, and average collection period of Corporation F for the year 2017.

(b)

To determine

To find out: whether accounts receivable is a material component of Corporation F’s current assets in 2017.

(c)

To determine

To evaluate: The balance in Corporation F’s allowance for doubtful accounts.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 8, Problem 8.14E

(a)

To determine

Accounts receivable turnover

Accounts receivable turnover is a liquidity measure of accounts receivable in times, which is calculated by dividing the net credit sales by the average amount of net accounts receivables. In other words, it indicates the number of times the average amount of net accounts receivables collected during a particular period.

Average collection period:

Average collection period indicates the number of days taken by a business, to collect its outstanding amount of accounts receivable on an average.

To calculate: The accounts receivable turnover, and average collection period of Corporation F for the year 2017.

(b)

To determine

To find out: whether accounts receivable is a material component of Corporation F’s current assets in 2017.

(c)

To determine

To evaluate: The balance in Corporation F’s allowance for doubtful accounts.

Answer 6

Chapter 8, Problem 8.14E

(a)

To determine

Accounts receivable turnover

Accounts receivable turnover is a liquidity measure of accounts receivable in times, which is calculated by dividing the net credit sales by the average amount of net accounts receivables. In other words, it indicates the number of times the average amount of net accounts receivables collected during a particular period.

Average collection period:

Average collection period indicates the number of days taken by a business, to collect its outstanding amount of accounts receivable on an average.

To calculate: The accounts receivable turnover, and average collection period of Corporation F for the year 2017.

Answer 7

Chapter 8, Problem 8.14E

(a)

To determine

Accounts receivable turnover

Accounts receivable turnover is a liquidity measure of accounts receivable in times, which is calculated by dividing the net credit sales by the average amount of net accounts receivables. In other words, it indicates the number of times the average amount of net accounts receivables collected during a particular period.

Average collection period:

Average collection period indicates the number of days taken by a business, to collect its outstanding amount of accounts receivable on an average.

To calculate: The accounts receivable turnover, and average collection period of Corporation F for the year 2017.

Answer 8

(b)

To determine

To find out: whether accounts receivable is a material component of Corporation F’s current assets in 2017.

Answer 9

(b)

To determine

To find out: whether accounts receivable is a material component of Corporation F’s current assets in 2017.

Answer 10

(c)

To determine

To evaluate: The balance in Corporation F’s allowance for doubtful accounts.

Answer 11

(c)

To determine

To evaluate: The balance in Corporation F’s allowance for doubtful accounts.

Answer 12

Expert Solution & Answer

Answer 13

Expert Solution & Answer

Answer 14

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 15

Ch. 8 - What is the difference between an account...Ch. 8 - What are some common types of receivables other...Ch. 8 - What are the essential features of the allowance...Ch. 8 - Prob. 4Q Ch. 8 - Prob. 5Q Ch. 8 - Prob. 6Q Ch. 8 - Prob. 7Q Ch. 8 - Tawnya Dobbs, the vice president of sales for...Ch. 8 - Prob. 9Q Ch. 8 - Prob. 10Q

Solution Summary: The author calculates the accounts receivable turnover and average collection period of Corporation F for the year 2017.

Concept explainers

Videos

To find out: whether accounts receivable is a material component of Corporation F’s current assets in 2017.

To evaluate: The balance in Corporation F’s allowance for doubtful accounts.

Want to see the full answer?

Chapter 8 Solutions