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Accounts Receivable Analysis A company reports the following: Sales $838,040 Average accounts receivable (net) 59.860 Determine (a) the accounts receivable turnover and (b) the number of days' sales in receivables. Round interim calculations to the nearest dollar and financers to one decimal place. Assume a 365-day year a. Accounts receivable turnover b. Number of days' sales in receivables days YZ25,000 lotal operating expenses Income before income tax expense Income tax expense $25,000 5127500 $44,500 (17,800) $26,700 (10,000) Net income $15,000 a. Prepare a comparative income statement with horizontal analysis, indicating the increase (decresse) for the current year when compared with the previous year. It required, round to one decimal place Winthrop Company Comparative Income Statement For the Years Ended December 31 Current Previous Increase Increase year Amount year Amount (Decrease) Amount (Decrease) Percent Sales $2.240,000 $2,000,000 Cost of goods sold (1.925,000) 1.750,000) Gross profit $315,000 $250,000 Selling expenses $(152,500) (118,000) $(125,000) (100,000) Administrative expenses Total operating expenses 5(270,500) ${225,000) $25,000 Income before income tax expense Income tax expense 544,500 (17,800) (10,000) $15,000 Net Income $26,700 in and b. The net income for Winthrop Company Increased between years. This increase was the combined result of an percentage in cost of goods sold. The cost of goods sold increased at a sales, thus causing the percentage increase in grous profit to be than the percentage increase in sales Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: Current Year Previous Year Sales $4,000,000 $3,600,000 Cost of goods sold 2,280,000 1,872,000 Selling expenses 600,000 648,000 Administrative expenses 520,000 360,000 Income tax expense 240,000 216,000 a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. Round to the nearest whole percentage Innovation Quarter Inc. Comparative Income Statement For the Years Ended December 31 Current year Current year Previous year Previous year Amount Percent Amount Percent Sales $4,000,000 96 $3,600,000 Cost of goods sold (2,280,000) 9 (1,872,000) % Selling expenses $(648,000) $(600,000) (520,000) Administrative expenses % (360,000) * ye 96 (240,000) % Income tax expense (216,000) Inventory Analysis A company reports the following: Cost of goods sold $223,380 Average inventory 49,640 Determine (a) the inventory turnover and (b) the number at day sales in inventory, Round interim calculations to the nearest dollar and final answers to one decima place. Assume 365 days a year a. Inventory turnover b. Number of days sales in inventory days