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6.) and 7.) Fraser Company had $144, 000 in sales on account last year. The beginning accounts receivable balance was $10, 000 and the ending

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Fraser Company had $144, 000 in sales on account last year. The beginning accounts receivable balance was $10, 000 and the ending accounts receivable balance was $14, 000. Thus, the company's accounts receivable turnover was 12.0. What does this mean? a. On average, it takes 12 days to collect an account receivable. b. The company converts receivables to cash, on average, 12 times per year. c. The company converts sales to cash, on average, 12 times per year. d. The company gives sales discounts. Eraser Company had earnings before interest and taxes of $100, 000. If the company's times interest earned ratio is 8.0, what was its interest expense? a. $8, 000 b. $80, 000 c. $12, 500 d. $87, 500

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