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The following data are taken from the financial statements of Crane Company. 2017 2016 Accounts receivable (net), end of year $ 571,600 $ 615,000 Net
The following data are taken from the financial statements of Crane Company.
2017 | 2016 | |||
Accounts receivable (net), end of year | $ 571,600 | $ 615,000 | ||
Net sales on account | 4,565,000 | 4,057,000 | ||
Terms for all sales are 1/10, n/45 |
1)Compute for each year the accounts receivable turnover. At the end of 2015, accounts receivable was $511,500. (Round answers to 1 decimal place, e.g. 12.5.)
2) Compute for each year the average collection period. (Round answers to 1 decimal place, e.g. 12.5. Use 365 days for calculation.)
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