Cromley Corporation reports annual sales of $1,500,000. Its accounts receivable throughout the year averaged $125,000. a. Compute

Question:

Cromley Corporation reports annual sales of $1,500,000. Its accounts receivable throughout the year averaged $125,000.

a. Compute the company’s accounts receivable turnover rate.

b. Compute the average days outstanding of the company’s accounts receivable.

Accounts Receivable
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