Question
Geisel, Inc. reported net sales revenue of $516,000 in 2015 and $611,000 in 2016. The companys average net receivables were $128,000 during 2014 and $137,000
Geisel, Inc. reported net sales revenue of $516,000 in 2015 and $611,000 in 2016. The companys average net receivables were $128,000 during 2014 and $137,000 during 2015. At December 31, 2016, the company had Accounts Receivable of $143,000. and an unadjusted debit balance in its Allowance for Doubtful Accounts account of $1,000. The company reported Bad Debt Expense of $7,080 during 2016. |
Required: | |
a. | Determine the net receivables at December 31, 2016. |
b. | Calculate the receivables turnover ratio for 2015 and 2016. (Round your intermediate calculations and final answers to 1 decimal place. Use 365 days a year. ) |
c. | Calculate the days to collect for 2015 and 2016. (Round your intermediate calculations and final answers to 1 decimal place. Use 365 days a year. ) |
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