Refer to the CVS annual report in the Supplement to Chapter 16 and to the following data

Question:

Refer to the CVS annual report in the Supplement to Chapter 16 and to the following data (in millions) for Walgreens: net sales, $72,184 and $67,420 for 2011 and 2010, respectively; accounts receivable, net, $2,497 and $2,450 for 2011 and 2010, respectively.15

1. Compute receivables turnover and days' sales uncollected for 2011 and 2010 for CVS and Walgreens. Accounts receivable in 2009 were $5,457 million for CVS and $2,496 million for Walgreens. (Round to one decimal place.)

2. Do you discern any differences in the two companies' credit policies? Explain your answer.

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...