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Mathis and Hashey are two of the largest and most successful toymakers in the world, in terms of the products they sell and their receivables

Mathis and Hashey are two of the largest and most successful toymakers in the world, in terms of the products they sell and their receivables management practices. To evaluate their ability to collect on credit sales, consider the following information reported in their annual reports (amounts in millions).

Mathis Hashey
Fiscal Year Ended: 2015 2014 2013 2015 2014 2013
Net Sales $ 4,856 $ 4,231 $ 4,918 $ 3,002 $ 2,868 $ 3,022
Accounts Receivable 1,118 724 850 942 1,022 594
Allowance for Doubtful Accounts 17 20 21 26 28 27
Accounts Receivable, Net of Allowance 1,101 704 829 916 994 567

Required:

  1. Calculate the receivables turnover ratios and days to collect for Mathis and Hashey for 2015 and 2014. TIP: In your calculations, use average Accounts Receivable, Net of Allowance. (Use 365 days in a year. Do not round intermediate calculations on Accounts Receivable Turnover Ratio. Round your final answers to 1 decimal place. Use final rounded answers from Accounts Receivable Turnover Ratio for Days to Collect ratio calculation.)

2015 2014
Mathis Hashey Mathis Hashey
Receivables Turnover Ratio
Days to Collect

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