Using the data in the preceding question, assume accounts receivable had a beginning balance of $67,400 and net credit sales for the current year totaled $807,800. How many days did it take Schultz to collect its average level of receivables? a. 49 b. 35 c. 29 d. 26

Using the data in the preceding question, assume accounts receivable had a beginning balance of $67,400 and net credit sales for the current year totaled $807,800. How many days did it take Schultz to collect its average level of receivables? a. 49 b. 35 c. 29 d. 26

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter16: Accounting For Accounts Receivable

Section: Chapter Questions

Problem 1CE

See similar textbooks

Related questions

Q: Based on the following data for the current year, what is the number of days' sales in receivable?…

A: Number of days sale in receivable means how much time will the debtor takes to clear his dues. First…

Q: The following data are taken from the financial statements of Sigmon Inc. Terms of all sales are…

A: Accounts receivable turnover ratio is an efficiency ratio or an activity ratio that measures the…

Q: Based on the following data for the current year, what is the number of days' sales in receivables…

A: Number of days' sales in receivable = 365/Accounts receivable turnover Accounts receivable turnover…

Q: From the following particulars, determine Trade Receivables at the end of the year Credit Revenue…

A: We are required to determine Trade Receivable at the end of the year. Which is given in following…

Q: On 1 October 20X2, the receivables' balance at G was $80,000. A summary of the transactions in the…

A: We have the following information: (Opening Balance) On 1 October 20X2, the receivables' balance at…

Q: Determine (a) the accounts receivable turnover and (b) the number of days' sales final answers to…

A: Solution: Number of days sales in receivable represents the average number of days a company takes…

Q: Financial statement data for years ending December 31 for Robinhood Company follow: 20Υ9 20Υ8 Sales…

Q: A company reports the following: Sales Average accounts receivable (net) $511,000 73,000 Determine…

A: Sales = 511,000 Average Accounts Receivables (net) = 73,000

Q: The following data are taken from or calculated from the financial statements: Current…

A: Solution: A) 1) Accounts receivable turnover = Net Credit sales / Average accounts receivable…

Q: The following data are taken from or calculated from the financial statements: Average accounts…

A: Introduction: The percentage of a period's average accounts receivable divided by the period's net…

Q: A company reports the following: Sales $303,680 Average accounts receivable (net) 23,360 Determine…

A: Accounts receivable turnover ratio shows how quickly company is able to collect amount from the…

Q: Sheridan Clothing Store had a balance in the Accounts Receivable account of $460000 at the beginning…

A: Opening account receivable (A) = $ 460,000 Closing account receivable (B) = $ 450,000 Net credit…

Q: Jars Plus recorded $861,430 in credit sales for the year and $488,000 in accounts receivable. The…

A: Allowance for doubtful accounts means where we expect some debts to become bad in near future then…

Q: At December 1, 2022, Swifty Corporation Accounts Receivable balance was $12770. During December,…

A: Formula: Closing accounts receivable = Beginning accounts receivable + Credit sales - cash…

Q: The following information relates to Jack Company's accounts receivable for year 2: Accounts…

A: Accounts receivable is an asset for a company which can be to pay off the current liabilities or…

Q: The financial statements of the Splish Brothers Inc. reports net sales of $360000 and accounts…

A: The average collection period seems to be the length of time it requires for a company to obtain…

Q: The year-end balance in accounts receivable is $300,000, the Allowance for Uncollectible Accounts…

A: Accounts Receivable Uncollectable Account Accounts Receivable is considered to be on of the…

Q: following data for the current year, what is the number of days' sales in receivables (rounded to…

A: Accounts receivable (AR) seems to be the amount owed to a company for products or services provided…

Q: The following data are taken from the financial statements of Basinger Inc. Terms of all sales are…

A: Accounts receivables turnover ratio = Credit sales / Average accounts receivables number of days…

Q: A company reports the following: Sales $315,360 Average accounts receivable (net) 39,420 Determine…

A: Accounts receivable turnover = ( Net Credit Sales / Average Accounts receivable ) Number of days'…

Q: A company reports the following: Sales $859,940 Average accounts receivable (net) 45,260…

A: Account Receivables turnover ratio: Account Receivables turnover ratio is mainly used to evaluate…

Q: On December 1, the Notes Receivable account had a normal balance of $130,000. During December, the…

A: Balance of the account on December 31 = Beginning balance + Amount debited - Amount Credited

Q: The following data are taken from the financial statements of Basinger Inc. Terms of all sales are…

A: Trade Receivable Turnover ratio - It is used to measure how effective a company is in extending…

Q: Twist Corp. has a current accounts receivable balance of $357,615. Credit sales for the year just…

A: Given Information Current Accounts Receivable balance = $357,615 Credit Sales for year end…

Q: The January 1 balance in accounts receivable was $22,000. All sales during the period were on credit…

A: Accounts receivable are the money owed to a company by its customers. This happens because of Credit…

Q: A wants you to calculate its average days in accounts receivable for the year. Its beginning and…

A: Average account receivable = [(Beginning balance - Beginning allowance account) + (Ending balance -…

Q: The following information was taken from the books of Olmeck, Inc. Sales Accounts receivable:…

A: Accounts receivable turnover = Net sales of company / Average accounts receivable of company Number…

Q: ord Corporation had net credit sales during the year of $1116550 and cost of goods sold of $448000.…

A: Average Accounts Receivables = (Beginning Accounts Receivables + Ending Accounts Receivables ) /2…

Q: Michaels Corp. has a current accounts receivable balance of $623,410. Credit sales for the year just…

A: Introduction: Accounts receivable turnover is the number of times a year that a business pays its…

Q: A company reports the following: Sales $838,040 Average accounts receivable (net) 51,100 Round your…

A: Formula: Accounts receivable turnover ratio = Net sales / Average accounts receivable Average…

Q: calculate the unknown amount. On September 30, Valerian Co. had a $102,500 balance in Accounts…

A: Given information is: Valerian Co. had a $102,500 balance in Accounts Receivable. During October,…

Q: A company reports the following: Sales $671,600 Average accounts receivable (net) 67,160 Determine…

A: Accounts receivable turnover = Sales / Average Accounts receivable where, Average Accounts…

Q: Pachel Corporation reports the following information pertaining to its accounts receivable. Days…

A: Uncollectible Accounts expense: An uncollectible accounts expense is reported on the books when a…

Q: Trout Lumber Yard has a current accounts receivable balance of $440,516. Credit sales for the year…

A: Receivables turnover = Credit sales / Receivables Days' sales in receivables = 365 days /…

Q: The following data are taken from the financial statements of Sigmon Inc. Terms of all sales are…

A: Average Accounts Receivable =(Opening Accounts Receivable + Closing Accounts Receivable) / 2…

Q: The journal entry on December 31 would consist of a debit to Notes Payable for $10,000, debit to…

A: Notes payable: Notes payable can be defined as the promissory note in which one party promises other…

Q: Credit sales during the year were $425,000, the Allowance for Uncollectible Accounts had a beginning…

A: Uncollectibles = Credit Sale ×2%=$425,000×2%=$8,500

Q: The following data are taken from the financial statements of Sigmon Inc. Terms of all sales are…

A: Average accounts receivable for 20Y3 = ($196,800+ 212,000)/2 = $204,400 Average accounts…

Q: The following data are taken from the financial statements of Sigmon Inc. Terms of all sales are…

A: Accounts receivable turnover indicate the effectiveness of the company in recovering receivable…

Q: The financial statements of the Sunland Company report net sales of $384000 and accounts receivable…

A: Accounts receivable turnover ratio = Net credit sales / Average Accounts Receivables where, Average…

Q: Calculating the Average Collection Period Trout Lumber Yard has a current accounts receivable…

A: Given, Accounts receivable = $527,164 Total credit sales = $6,787,626 Number of days in a year = 365…

Q: SheridanStore had a balance in the Accounts Receivable account of $510000 at the beginning of the…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: Brickman’s ending balance of Accounts Receivable is $19,500. Use the data in the preceding question…

A: In this question, ending balnace of bad debts expense amount is missing, here i am assuming ending…

Q: A company reports the following: Sales $1,092,080 Average accounts receivable 49,640 (net) Determine…

A: Accounts receivable turnover = Sales/Average accounts receivable Number of days' sales in…

Q: Based on the following data, what is the accounts receivable turnover? Sales on account during year…

A: Accounts receivable turnover ratio = Net credit sales / Average Accounts Receivables where, Average…

Q: A company reports the following:Sales…

A: a.Compute accounts receivable turnover ratio.

Q: The following data are taken from the financial statements of Sigmon Inc. Terms of all sales are…

A: a (1)Determine accounts receivable turnover:

Q: The following data are taken from the financial statements of Basinger Inc. Terms of all sales are…

A: Formula: Accounts receivable turnover = Net credit sales / Average accounts receivables. Division of…

Concept explainers

Conversion Cycle

Conversion cycle is also known as cash cycle or net operating cycle. Conversion cycle refers to how much time a company takes to turn its investments which is done from stock or any other financial resources into cash flows from sales.

Question

a. 49

b. 35

c. 29

d. 26

Definition Definition Money that the business will be receiving from its clients who have utilized the credit provided to buy its goods and services. The credit period typically lasts for a short term, lasting from a few days, a few months, to a year.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Last year, Nikkola Company had net sales of 2.299.500,000 and cost of goods sold of 1,755,000,000. Nikkola had the following balances: Refer to the information for Nikkola Company above. Required: Note: Round answers to one decimal place. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.
Whalen Company had net sales of 125,500,250,000. Whalen had the following balances: Required: Note: Round answers to two decimal places. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.
Montalcino Company had net sales of 54,000,000. Montalcino had the following balances: Required: Note: Round answers to one decimal place. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.
Catherines Cookies has a beginning balance in the Accounts Receivable control total account of $8,200. $15,700 was credited to Accounts Receivable during the month. In the sales journal, the Accounts Receivable debit column shows a total of $12,000. What is the ending balance of the Accounts Receivable account in the general ledger?
Berry Farms has an accounts receivable balance at the end of 2018 of $425,650. The net credit sales for the year are $924,123. The balance at the end of 2017 was $378,550. What is the number of days sales in receivables ratio for 2018 (round all answers to two decimal places)?
The following select financial statement information from Vortex Computing. Compute the accounts receivable turnover ratios and the number of days sales in receivables ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Vortex Computing if industry average for accounts receivable turnover ratio is 4 times and days sales in receivables ratio is 85 days?
The following select financial statement information from Candid Photography. Compute the accounts receivable turnover ratios and the number of days sales in receivables ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Candid Photography if industry average for accounts receivable turnover ratio is 3 times and days sales in receivables ratio is 150 days?
Catherines Cookies has a beginning balance in the Accounts Payable control total account of $8,200. In the cash disbursements journal, the Accounts Payable column has total debits of $6,800 for November. The Accounts Payable credit column in the purchases journal reveals a total of $10,500 for the current month. Based on this information, what is the ending balance in the Accounts Payable account in the general ledger?
Millennial Manufacturing has net credit sales for 2018 in the amount of $1,433,630, beginning accounts receivable balance of $585,900, and an ending accounts receivable balance of $621,450. Compute the accounts receivable turnover ratio and the number of days sales in receivables ratio for 2018 (round answers to two decimal places). What do the outcomes tell a potential investor about Millennial Manufacturing if industry average is 2.6 times and number of days sales ratio is 180 days?