Required information

[The following information applies to the questions displayed below.] Simon Companys year-end balance sheets follow.

At December 31	2017			2016			2015
Assets
Cash	$	29,590		$	34,588		$	34,969
Accounts receivable, net		89,800			62,300			54,500
Merchandise inventory		112,500			82,500			53,000
Prepaid expenses		9,529			9,079			3,885
Plant assets, net		250,271			235,404			199,946
Total assets	$	491,690		$	423,871		$	346,300
Liabilities and Equity
Accounts payable	$	124,879		$	73,067		$	46,626
Long-term notes payable secured by mortgages on plant assets		94,286			99,440			78,063
Common stock, $10 par value		162,500			162,500			162,500
Retained earnings		110,025			88,864			59,111
Total liabilities and equity	$	491,690		$	423,871		$	346,300

The companys income statements for the years ended December 31, 2017 and 2016, follow. Assume that all sales are on credit:

For Year Ended December 31	2017						2016
Sales				$	639,197					$	504,406
Cost of goods sold	$	389,910					$	327,864
Other operating expenses		198,151						127,615
Interest expense		10,866						11,601
Income taxes		8,310						7,566
Total costs and expenses					607,237						474,646
Net income				$	31,960					$	29,760
Earnings per share				$	1.97					$	1.83

(2) Compute accounts receivable turnover.

Required information

[The following information applies to the questions displayed below.] Simon Companys year-end balance sheets follow.

At December 31	2017			2016			2015
Assets
Cash	$	29,590		$	34,588		$	34,969
Accounts receivable, net		89,800			62,300			54,500
Merchandise inventory		112,500			82,500			53,000
Prepaid expenses		9,529			9,079			3,885
Plant assets, net		250,271			235,404			199,946
Total assets	$	491,690		$	423,871		$	346,300
Liabilities and Equity
Accounts payable	$	124,879		$	73,067		$	46,626
Long-term notes payable secured by mortgages on plant assets		94,286			99,440			78,063
Common stock, $10 par value		162,500			162,500			162,500
Retained earnings		110,025			88,864			59,111
Total liabilities and equity	$	491,690		$	423,871		$	346,300

The companys income statements for the years ended December 31, 2017 and 2016, follow. Assume that all sales are on credit:

For Year Ended December 31	2017						2016
Sales				$	639,197					$	504,406
Cost of goods sold	$	389,910					$	327,864
Other operating expenses		198,151						127,615
Interest expense		10,866						11,601
Income taxes		8,310						7,566
Total costs and expenses					607,237						474,646
Net income				$	31,960					$	29,760
Earnings per share				$	1.97					$	1.83

(2) Compute accounts receivable turnover.

Required information

[The following information applies to the questions displayed below.] Simon Companys year-end balance sheets follow.

At December 31	2017			2016			2015
Assets
Cash	$	29,590		$	34,588		$	34,969
Accounts receivable, net		89,800			62,300			54,500
Merchandise inventory		112,500			82,500			53,000
Prepaid expenses		9,529			9,079			3,885
Plant assets, net		250,271			235,404			199,946
Total assets	$	491,690		$	423,871		$	346,300
Liabilities and Equity
Accounts payable	$	124,879		$	73,067		$	46,626
Long-term notes payable secured by mortgages on plant assets		94,286			99,440			78,063
Common stock, $10 par value		162,500			162,500			162,500
Retained earnings		110,025			88,864			59,111
Total liabilities and equity	$	491,690		$	423,871		$	346,300

The companys income statements for the years ended December 31, 2017 and 2016, follow. Assume that all sales are on credit:

For Year Ended December 31	2017						2016
Sales				$	639,197					$	504,406
Cost of goods sold	$	389,910					$	327,864
Other operating expenses		198,151						127,615
Interest expense		10,866						11,601
Income taxes		8,310						7,566
Total costs and expenses					607,237						474,646
Net income				$	31,960					$	29,760
Earnings per share				$	1.97					$	1.83

(2) Compute accounts receivable turnover. (3) Compute inventory turnover.

(4) Compute days' sales in inventory.