Register
Powers Company reported net sales of $1,360,000, average Accounts Receivable, net of $62,500, and net income of $57,825. The accounts receivable turnover ratio is:
21.8k views
11 votes
Powers Company reported net sales of $1,360,000, average Accounts Receivable, net of $62,500, and net income of $57,825. The accounts receivable turnover ratio is:

User Steverb
by
3.5k points

1 Answer

8 votes

Answer: 21.8

Step-by-step explanation:

The formula for this is: net credit sales / average accounts receivable.

When looking at the question you can see that

Net Sales = 1,360,000

Average accounts receivables = 62,600

Therefore you need to do 1,360,000/62500 which is equal to 21.76

After rounding, it will be 21.8

User Dunken
by
3.7k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

3.4m questions

4.4m answers

Other Questions

Stevenson Company purchased equipment for $250,000 on January 1, 2010. The estimated salvage value is $50,000, and the estimated useful life is 5 years. The straight-line method is used for depreciation.
In order to attract younger customers to the Lacoste brand of clothing, CEO Robert Siegel made all of the major decisions in product planning, distribution, and promotion. He asked for no input from his
Andrew doesn’t want to spend a lot of money on student loans, and does not qualify for grants. what is his best option for affording a bachelors degree
The method of appraisal in which the appraiser estimates the replacement cost of the building, deducts depreciation, and adds the value of the site is:________
The Yum and Yee food truck near the business school serves customers during lunch hour by taking orders and making fresh batches of stir-fry. Customers have only one choice during the lunch hour so that
Link Copied!