Assume that Leif Company has the following data related to its accounts receivable: Use these data to

Question:

Assume that Leif Company has the following data related to its accounts receivable:

Use these data to compute accounts receivable turnover ratios and average collection periods for 2011 and 2012. Based on your analysis, is Leif Company managing its receivables better or worse in 2012 than it did in2011?

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...