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Hayes Companies and Softee Sodas are two of the largest and most successful beverage companies in the world in terms of the products that they

Hayes Companies and Softee Sodas are two of the largest and most successful beverage companies in the world in terms of the products that they sell and their receivables management practices. To evaluate their ability to collect on credit sales, consider the following rounded amounts reported in their annual reports (amounts in millions).

Fiscal Year Ended: Hayes Companies Softee Sodas
2018 2017 2016 2018 2017 2016
Net Sales $ 41,390 $ 45,980 $ 48,120 $ 84,048 $ 84,585 $ 72,180
Accounts Receivable 4,450 4,760 4,980 8,320 8,230 7,850
Allowance for Doubtful Accounts 630 620 610 100 130 140
Accounts Receivable, Net of Allowance 3,820 4,140 4,370 8,220 8,100 7,710

Required:

1. Calculate the receivables turnover ratios and days to collect for Hayes Companies and Softee Sodas for 2018 and 2017.

2-a. Which of the companies was quicker to convert its receivables into cash in 2018?

2-b. Which of the companies was quicker to convert its receivables into cash in 2017?

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