26. The receivables turnover and inventory turnover ratios are used to analyze a) solvency. b) profitability c) liquidity. d) leverage. 27. A high receivables turnover ratio may indicate that a) customers are making payments quickly. b) a large portion of the company's sales are on credit c) many customers are not paying their receivables. d) the company's sales have increased. 28. Afrikana Inc. had a balance in the Accounts Receivable account of $820,000 at the beginning of the year and a balance of $880,000 at the end of the year. Credit sales during the year were $5,920,000. The average collection period of the receivables was a) 45 days. b) 52 days. c) 54 days. d) 104 days. 29. Handles Corp. reported credit sales of $6,500,000 and cost of goods sold of $3,400,000 for the year. The Accounts Receivable balances at the beginning and end of the year were $525,000 and $575,000, respectively. The receivables turnover ratio was a) 6.2 times. b) 11.3 times. c) 11.8 times. d) 5.9 times