b.

b. Compute the days' sales in average receivables during 2020. Enter the formula, then compute the days' sales in average receivables during 2020. (Round your answer to two decimal places) Days' sales in Average net accounts receivable One day's sales average receivables days ala Income statement redit A B 1 Cartwright's 2 2 Income Statement 3 For The Year Ended December 31, 2020 4 4 2020 ir an 5 Sales revenues $ 34,988,900 ento 21,766,030 $ 13,222,870 6 Less: Cost of goods sold 7 Gross profit 8 Less: Operating expenses 9 Operating income 5,088,250 $ 8,134,620 10 Less: Interest expense 217,800 11 Income before income taxes $ 7,916,820 12 Less: Income tax expense 1,925,750 13 Net income $ 5,991,070 Balance sheets A B B 1 Cartwright's N 2. Balance Sheets 3 December 31, 2020 and 2019 4 2020 2019 5 Assets 6 Current assets: 7 Cash $ 1,200,000 $ 810,000 203,200 260,000 8 Short-term investments 9 Accounts receivable 10 Inventory 378,500 4,190,000 100,800 4,676,000 508,000 6,688,000 $ 11 Other current assets 409,500 12 Total current assets $ 6,048,000 13 Other noncurrent assets 11,620,000 11,437,000 $ 18,125,000 $ 14 Total assets 17,668,000 15 16 Liabilities Balance sheets $ 18,125,000 $ 17,668,000 14 Total assets 15 16 Liabilities 17 Current liabilities: 18 Accounts payable $ 3,400,000 $ 2,750,000 19 Notes payable 890,000 655,000 20 Accrued liabilities 110,000 195,000 21 Total current liabilities $ 3,600,000 4,400,000 $ 4,300,000 22 Long-term liabilities 4,216,000 23 Total liabilities $ 8,700,000 $ 7,816,000 24 25 Stockholders' equity 26 Common stock, no par $ $ 2,502,000 $ 2,000,000 6,923,000 7,852,000 27 Retained earnings 28 Total stockholders' equity $ 9,425,000 $ 9,852,000 29 30 Total liabilities and equity $ 18,125,000 $ 17,668,000