Chapter 9, Problem 1AA

To determine

Introduction:

Companies often make credit sales to earn more customers. When they sell merchandise on credit then those are classified as accounts receivable. When companies make credit sales, it expects some customers will not pay and these accounts are classified as uncollectible accounts or bad debts. The accounts receivable turnover is calculated to determine the number of times in a year the business is able to collect its average accounts receivable.

To calculate:

Use Apple's financial statements in Appendix A to answer the following

1. What is the amount of Apple's accounts receivable as of September 30, 2017?