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6: Cola Inc. and Soda Co. are two of the largest and most successful beverage companies in the world in terms of the products that
6: Cola Inc. and Soda Co. are two of the largest and most successful beverage companies in the world in terms of the products that they sell and their receivables management practices. To evaluate their ability to collect on credit sales, consider the following rounded amounts reported in their annual reports (amounts in millions) Cola Inc Soda Co Piscal Year Ended: Net Sales Accounts Receivable Allovance for Doubtful Accounts 2015 2014 2013 en343 1,20 131 1303 112012 2913 36-519 $32 490 $33 444 $59,338 44,732 $44,751 6,497 4,744 3,814 oints 4,528 3,843 3,171 51 Accounts Receivable, Net of Allovance 4,477 3,785 3,117 6,350 ,651 3,741 58 54 147 93 73 Book Print References Required: 1. Calculate the receivables turnover ratios and days to collect for Cola Inc. and Soda Co. for 2015 and 2014. (Use 365 days in a year Do not round intermediate calculations on Accounts Receivable Turnover Ratio. Round your final answers to 1 decimal place. Use final rounded answers from Accounts Receivable Turnover Ratio for Days to Collect ratio calculation.) 2015 2014 Cola Inc.Soda Co. Cola Inc. Soda Co. Receivables Turnover Ratio 10.8 Days to collect 41.4 3.8
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