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Assume selected financial data for Sun Health Group and Select Medical Corporation, two companies in the health-care Industry, are as follows: Beginning Accounts Receivable ($
Assume selected financial data for Sun Health Group and Select Medical Corporation, two companies in the health-care Industry, are as follows: Beginning Accounts Receivable ($ in millions) Sun Health Select Medical Net Sales $2,330 2.648 Ending Accounts Receivable $222 $225 Required: 1-a. Calculate the receivables turnover ratio and average collection period for Sun Health and Select Medical. (Round Average accounts receivable to 1 decimal place. Enter your answers in millions.) Receivables Turnover Ratio = Receivables Turnover Ratio times Sun Health Select Medical times Average Collection Period Sun Health Select Medical Average Collection Period days days 1-b. Which company maintains a higher receivables turnover? Sun Health Select Medical
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