Question

Utica company's net accounts receivable was $250,000 at december 31, 2016, and $300,000 at december 31, 2017. net cash sales for 2017 were $100,000. the accounts receivable turnover for 2017 was 5.0, which was computed from net credit sales for the year.

Answer 1

which was computed from net credit sales for the year. $1375000

Step-by-step explanation:

AR turnover= Credit sales ÷ Average AR

5= Credit sales ÷ (250,000 + 300,000/2)

Credit sales = 5*(250,000 + 300,000/2)

Credit sales =1375000