Question
Microsoft Corporation develops, produces, and markets a wide range of computer software, including the Windows operating system. Assume Microsoft reported the following information about Net
Microsoft Corporation develops, produces, and markets a wide range of computer software, including the Windows operating system. Assume Microsoft reported the following information about Net Sales Revenue and Accounts Receivable (in millions).
June 30, 2020 | June 30, 2019 | |||||
Accounts Receivable, Net of Allowances of $196 and $144 | $ | 17,855 | $ | 14,422 | ||
Net Revenues | 54,871 | 39,543 | ||||
Assume that, according to its annual report, Microsoft recorded Bad Debt Expense of $148 million and did not recover any previously written off accounts during the year ended June 30, 2020. Required: 1. What amount of accounts receivable was written off during the year that ended June 30, 2020? (Enter your answer in millions.)
2. What was Microsofts receivables turnover ratio in the current year? (Round your answer to 1 decimal place.)
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