91.

Kirk Furniture Company had net Accounts Receivable of $750,000 at the beginning of the year and $925,000 at the end of the year. Net Sales Revenue for 2010 was $6,500,000. What is the days to collect from customers?

A.

60.00

B.

42.12

C.

51.94

D.

47.03

92.

Which type of analysis could reveal that a company is relying heavily on debt financing?

A.	Common size statements

B.	Horizontal analysis

C.	The fixed asset turnover ratio

D.	Trend analysis

93.

A current ratio of less than one is not so much of a concern when the company has a:

A.	low fixed asset turnover ratio.

B.	high days to collect number.

C.	high inventory turnover ratio.

D.	high debt-to-equity ratio.

94.

Company A has a receivables turnover of 8.0. Company B has a receivables turnover of 10.0. Which of the following statements is correct?

A.	Company A collects its receivables faster than Company B.

B.	Company B collects its receivables faster than Company A.

C.	Company A makes more sales on account than Company B.

D.	Company B makes more sales on account than Company A.

95.

Which of the following would improve a current ratio that is now 1.2?

A.	Selling long-term assets for cash

B.	Purchasing land for cash

C.	Buying equipment in exchange for a two-year note

D.	Purchasing inventory on account