Question
ABC Corporation sells on terms of 2/10, n/30. 70% of customers normally avail of the discounts. Annual sales are $900,000, 80% of which is made
ABC Corporation sells on terms of 2/10, n/30. 70% of customers normally avail of the discounts. Annual sales are $900,000, 80% of which is made on credit. Cost is approximately 75% of sales.
Required:
A. Average balance of accounts receivable
B. Average investment in accounts receivable
(Provide solution.)
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Next Generation Data Management
Authors: Dr Mark Brady, Barry Lyons, Arjan Van Woensel
1st Edition
0578392186, 978-0578392189
