Beverage International reports net credit sales for the year of $588,000. The co

Question

Beverage International reports net credit sales for the year of $588,000. The company's accounts receivable balance at the beginning of the year equaled $37,000 and the balance at the end of the year equaled $47,000. What is Beverage International's receivables turnover ratio? (Round your answer to one decimal place.)

15.9

1.3

12.5

14.0

Beverage International reports net credit sales for the year of $588,000. The company's accounts receivable balance at the beginning of the year equaled $37,000 and the balance at the end of the year equaled $47,000. What is Beverage International's receivables turnover ratio? (Round your answer to one decimal place.)

Explanation / Answer

Beverage International Details Amt $ Net Credit Sales       588,000 Opening Balance Accounts Receivable         37,000 Closing balance Accounts receivable         47,000 Average Accounts Receivable         42,000 Receivable Turnover Ratio= Net Credit Sales/Average Accounts Recivable=            14.00 So Receivable Turnover Ratio is 14

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.