Last year, Dogwood Company had net sales of $9,690,000 and cost of goods sold of $4,812,000. Dogwood had the following balances: January 1 December 31 Accounts receivable $725,000 $775,000 Inventory 450,000 425,000 Required: Note: Round answers to one decimal place. Assume 365 days per year. 1. Calculate the average accounts receivable. $ 2. Calculate the accounts receivable turnover ratio. times 3. Calculate the accounts receivable turnover in days. days
Last year, Dogwood Company had net sales of $9,690,000 and cost of goods sold of $4,812,000. Dogwood had the following balances: January 1 December 31 Accounts receivable $725,000 $775,000 Inventory 450,000 425,000 Required: Note: Round answers to one decimal place. Assume 365 days per year. 1. Calculate the average accounts receivable. $ 2. Calculate the accounts receivable turnover ratio. times 3. Calculate the accounts receivable turnover in days. days
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 14BEA: Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000....
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Calculating the Average
Last year, Dogwood Company had net sales of $9,690,000 and cost of goods sold of $4,812,000. Dogwood had the following balances:
| January 1 | December 31 | |
| Accounts receivable | $725,000 | $775,000 |
| Inventory | 450,000 | 425,000 |
Required:
Note: Round answers to one decimal place. Assume 365 days per year.
1. Calculate the average accounts receivable.
$
2. Calculate the accounts receivable turnover ratio.
times
3. Calculate the accounts receivable turnover in days.
days
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