Question
Contemporary Media Sign Company sells on account. Recently, Contemporary reported the following figures: 2013 2012 Net Credit Sales $ 572,000 $ 600,000 Receivables at end
Contemporary Media Sign Company sells on account. Recently, Contemporary reported the following figures:
| 2013 | 2012 | |
|---|---|---|
| Net Credit Sales | $ 572,000 | $ 600,000 |
| Receivables at end of year | 38,700 | 46,100 |
Requirements
Compute Contemporarys days sales in receivables for 2013. (Round to the nearest day.)
Suppose Contemporarys normal credit terms for a sale on account are 2/10, net 30. How well does Contemporarys collection period compare to the companys credit terms? Is this good or bad for Contemporary?
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Audit Of The Drug Enforcement Administrations Controls Over Seized And Collected Drugs
Authors: Office Of Inspector General, U.S. Department Of Justice, Penny Hill Press
1st Edition
1537075683, 978-1537075686
