Accounts Receivable Turnover for General Mills The 2009 annual report of General Mills (the maker of Cheerios® and Wheaties®) reported the following amounts (in millions of dollars):
Net sales, for the year ended May 31, 2009 .....$14,691 .3
Receivables, May 31, 2009 ...............953.4
Receivables, May 25, 2008 ..............1,081 .6

Required
1. Compute General Mills’s accounts receivable turnover ratio for the year ended May 31, 2009. (Assume that all sales are on credit.)
2. What is the average collection period in days for an account receivable? Explain your answer.
3. Give some examples of the types of customers you would expect General Mills to have. Do you think the average collection period for sales to these customers is reasonable? What other information do you need to fully answer that question?