Calculation of Accounts Receivable as a Percentage of the Trailing 12 Months Sales: Now examine the exhibit below and use the sales and receivable amounts from Peregrine's quarterly financial statements to calculate accounts receivable as a percentage of the trailing 12 months sales for fiscal 2000-Q3, 2000-Q4 and 2001-Q1. Comment on your calculations as a signal of overstatement of revenue.

Q1 -1999 Q2-1999 Q3-1999 Q4-1999 Q1-2000 Q2-2000

Sales 46,110 51,605 57,807 67,544 76,344 94,374

Acc. Rec. 38,947 43,737 51,058 59,629 69,940 127,845