Hawk Company wants to determine the liquidity of its receivables. It has supplied you with the following data regarding selected accounts for December 31, 2009, and 2008:

Required
a. Compute the number of days€™ sales in receivables at December 31, 2009, and 2008.
b. Compute the accounts receivable turnover for 2009 and 2008. (Use year-end gross receivables.
c. Comment on the liquidity of Hawk Companyreceivables.

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2009 2008 S2 $2,200,000 Net sales $1,180,178 Receivables, less allowance for losses and discounts Beginning of year (allowance for losses and discounts, 2009 $12,300; 2008 $7,180) End of year (allowance for losses and discounts, 240,360 230,180 2009 $11,180; 2008 $12,300) 220.385 240,360