Question
The Limited Brands Inc. sells women's clothing and personal health care products through specialty retail stores including Victoria's Secret and Bath & Body Works stores.
The Limited Brands Inc. sells women's clothing and personal health care products through specialty retail stores including Victoria's Secret and Bath & Body Works stores. The Limited Brands reported the following (in millions) for two recent years:
Year 2 Year 1
Net sales $9613 $8632
Accounts receivable 267 249
Assume thataccounts receivable(in millions) were $313 at the beginning of Year 1.
a.Compute the accounts receivable turnover for Year 2 and Year 1. Round to one decimal place.
Year 2:
Year 1:
b.Compute the days' sales inreceivablesfor Year 2 and Year 1. Round interim calculations and final answers to one decimal place. Use 365 days per year in your calculations.
Year 2: __days
Year 1:__days
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