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Below are amounts for two companies: Beginning Accounts Ending Accounts Receivable (net) Receivable (net) Net Sales Company 1 Company 2 $2,200 $1,900 $27,000 3,400 2,400
Below are amounts for two companies: Beginning Accounts Ending Accounts Receivable (net) Receivable (net) Net Sales Company 1 Company 2 $2,200 $1,900 $27,000 3,400 2,400 73,000 1. For each company, calculate the receivables turnover ratio. (Round your answers to 2 decimal places.) Receivables Turnover Ratio Company 1 Company 2 times times 2. Which company appears more efficient in collecting cash from sales? Company 1 Company 2
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