In 2010, Drew Gooden Company has net credit sales of $1,600,000 for the year It had a beginning accounts receivable (net) balance of $101,000 and an ending accounts receivable (net) balance of $107,000 Compute Drew Gooden Companys (a) Accounts receivable turnover and (b) Average collection period i...

a Net credit sales Average net accounts recei ...

In 2010, Drew Gooden Company has net credit sales of $1,600,000 for the year. It had a

Question:

In 2010, Drew Gooden Company has net credit sales of $1,600,000 for the year. It had a beginning (net) balance of $101,000 and an ending (net) balance of $107,000. Compute Drew Gooden Company’s
(a) turnover and
(b) Average collection period in days.

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...