Accounts receivable analysis

The following data are taken from the financial statements of Sigmon Inc. Terms of all sales are $2/10,$ n$/45.$

This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below.

Open spreadsheet

a$.$ For $20Y2$ and $20Y3,$ determine $(1)$ the accounts receivable turnover and $(2)$ the days' sales in receivables. Assume a $365-$day year. Do not round intermediate

calculations. Round your answers to one decimal place.

$20Y3$

$20Y2$

Accounts receivable turnover

Days' sales in receivables

$x$ days

$x$ days

b$.$ The collection of accounts receivable has $!$

$.$ This can be seen in both the increase

$$ in accounts receivable turnover and the

$$ in the collection period.