Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please help Ingraham thc, currently has $525,000 in accounts receivable, and its days sales outstanding (DSO) is 66 days. It wants to reduce its DSO

please help
image text in transcribed
Ingraham thc, currently has $525,000 in accounts receivable, and its days sales outstanding (DSO) is 66 days. It wants to reduce its DSO to-35 days oy pressuring more of it customers to pay their bills on time. If this policy is adopted, the company's average sales will fall by 5%. What will be the fevel of accounts receivable following the change? Assume a 365-day year. Do not round intermediate calculations. Round your answer to the nearest dollar

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Private Equity Value Creation Analysis Volume I

Authors: Michael David Reinard

1st Edition

1736077821, 978-1736077825

More Books

Students also viewed these Finance questions