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show solution 2. AnDoe Industries sells on terms of 3/10, net of 30. Total sales for the year are PhP9,000,000. Forty percent of the customers
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2. AnDoe Industries sells on terms of 3/10, net of 30. Total sales for the year are PhP9,000,000. Forty percent of the customers pay on the 10th day and take discounts; the other 60% pay, on average, 40days after their purchases. Assume 360 days per year. a. Determine the Days Sales Outstanding (DSO). b. What will be the Average Amount of Receivables? c. If AnDoe toughened on its collection policy and all the non-discount customers will pay on the 30th day, what will be the possible impact on receivables and sales? -000Step by Step Solution
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