Rocket Inc. sells on terms that allow customers 48 days to pay for merchandise. Its sales last year were $325,000, and its year-end receivables were $39,000. If its DSO is less than the 48-day credit period, then customers are paying on time. Otherwise, they are paying late. By how much are customers paying early or late? Base your answer on this equation: DSO - Credit Period = Days early or late, and use a 365-day year when calculating the DSO. A positive answer indicates late payments, while a negative answer indicates early payments. Assume all sales to be on credit. Do not round your intermediate calculations.

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Rocket Inc. sells on terms that allow customers 48 days to pay for merchandise. Its sales last year were $325,000, and its year-end receivables were $39,000. If its DSO is less than the 48-day credit period, then customers are paying on time. Otherwise, they are paying late. By how much are customers paying early or late? Base your answer on this equation: DSO - Credit Period = Days early or late, and use a 365-day year when calculating the DSO. A positive answer indicates late payments, while a negative answer indicates early payments. Assume all sales to be on credit. Do not round your intermediate calculations.

For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).