Refer to the information in Exercise 16-4 about Rawhide Company. The company's income statement for years ended December 31, 1990, and 1989, included the following data:

\section*{Required}
For the years ended December 31, 1990, and 1989, calculate the following:

(a) days' sales uncollected,

(b) accounts receivable turnover, and

(c) merchandise turnover. Comment on any changes that occurred from 1989 to 1990.

Transcribed Image Text:

1990 1989 Sales $530,000 $475,000 Cost of goods sold $314,000 $290,000 Other operating expenses 173,000 152,000 Interest expense 12,000 11,500 Income taxes. 8,200 6,800 Total costs and expenses $507,200 $460,300 Net income.... $ 22,800 $ 14,700 Earnings per share $2.28 $1.47