The fi nancial statements of Columbia Sportswear Company are presented in Appendix B. Financial statements of VF Corporation are presented in Appendix C.

Instructions

(a) Based on the information contained in these fi nancial statements, compute the following 2014 values for each company.

(1) Accounts receivable turnover. (For VF, use “Net sales.” Assume all sales were credit sales.)

(2) Average collection period for accounts receivable.

(b) What conclusions concerning the management of accounts receivable can be drawn from these data?

COMPARATIVE ANALYSIS PROBLEM: Amazon.com, Inc. vs. Wal-Mart Stores, Inc.