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Analyzing the Allowance for Uncollectible Accounts Following is the current asset section from the Ralph Lauren Corporation balance sheet: (in millions) March 28, 2020 March

Analyzing the Allowance for Uncollectible Accounts Following is the current asset section from the Ralph Lauren Corporation balance sheet:

(in millions) March 28, 2020 March 30, 2019
Cash and cash equivalents $1,620.4 $584.1
Short-term investments 495.9 1,403.4
Accounts receivable, net allowances of $276.2 million and $192.2 million 277.1 398.1
Inventories 736.2 817.8
Income tax receivable 84.8 32.1
Prepaid expenses and other current assets 160.8 359.3
Total current assets $3,375.2 $3,594.8

The 2020 allowance consists of $204.7 for returns and $71.5 for uncollectible accounts. The amounts for 2019 were $176.5 and $15.7.

a. Compute the gross amount of accounts receivable for both 2020 and 2019. Compute the percentage of the allowance for uncollectible accounts relative to the gross amount of accounts receivable for each of these years.

Round percentages one decimal place (i.e., 0.2538 = 25.4%)

2020 2019
Gross receivables

Answer

million

Answer

million
% of allowance for uncollectibles to gross A/R

Answer

%

Answer

%

b. Ralph Lauren reported net sales of $6,159.8 million in 2020. Compute its accounts receivable turnover and average collection period. Round answers to two decimal places.

Accounts receivable turnover

Answer

times
Average collection period

Answer

days

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