Below are amounts (in millions) from three companies' annual reports. Beginning Accounts Receivable Ending Accounts Receivable...
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Below are amounts (in millions) from three companies' annual reports. Beginning Accounts Receivable Ending Accounts Receivable Net Sales WalCo TarMart CostGet $1,815 6,166 629 $2,762 6,694 $322,427 67,878 665 68,963 Required: 1. Calculate the receivables turnover ratio and the average collection period for WalCo, TarMart and CostGet. 2. Which company appears most efficient in collecting cash from sales? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the receivables turnover ratio and the average collection period for WalCo, TarMart and CostGet. (Enter your answers in millions rounded to 1 decimal place.) Receivables Turnover Ratio Choose Numerator Net sales Choose Denominator Average accounts receivable = Receivables turnover ratio WalCo $ TarMart $ 322,427 67,878 0 times 0 times CostGet 0 times WalCo TarMart CostGet Choose Numerator Average Collection Period Choose Denominator Average collection period 0 days 0 days 0 days < Required 1 Required 2 > Required 1 Required 2 Which company appears most efficient in collecting cash from sales? Most efficient in collecting cash from sales < Required 1 Required 2 > Below are amounts (in millions) from three companies' annual reports. Beginning Accounts Receivable Ending Accounts Receivable Net Sales WalCo TarMart CostGet $1,815 6,166 629 $2,762 6,694 $322,427 67,878 665 68,963 Required: 1. Calculate the receivables turnover ratio and the average collection period for WalCo, TarMart and CostGet. 2. Which company appears most efficient in collecting cash from sales? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the receivables turnover ratio and the average collection period for WalCo, TarMart and CostGet. (Enter your answers in millions rounded to 1 decimal place.) Receivables Turnover Ratio Choose Numerator Net sales Choose Denominator Average accounts receivable = Receivables turnover ratio WalCo $ TarMart $ 322,427 67,878 0 times 0 times CostGet 0 times WalCo TarMart CostGet Choose Numerator Average Collection Period Choose Denominator Average collection period 0 days 0 days 0 days < Required 1 Required 2 > Required 1 Required 2 Which company appears most efficient in collecting cash from sales? Most efficient in collecting cash from sales < Required 1 Required 2 >
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Related Book For
Financial Accounting
ISBN: 978-0078025549
3rd edition
Authors: J. David Spiceland, Wayne Thomas, Don Herrmann
Posted Date:
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