12 3 8 9 10 Question 20 Islington Corporation provides you with the following information: Income Statement (5 million) Balance Sheet Average over Period $ million Sales on credit 298 Cash 50 Accounts payable 80 COGS (200) Accounts receivable 60 Accrued expenses 65 Gross profit 98 Inventory 100 Long-term debt 150 SGA expenses (60) Property, P&E 375 Op. profit 38 Depreciation (85) Common stock 140 Interest expense (6) Retained carnings 65 Tax (13) Net Income 19 Total Assets 500 Total Liabilities & Equity 500 The average receivables collection period for Islington Corporation is closest to: OPTION A: 5.0 days. OPTION B: 73.5 days. OPTION C: 109.5 days