Question
The year-end Sales is 120,000 and Accounts Receivable is 30,000 with the turnover ratio history of 4.00. Suppose your sales growth projected next year is
The year-end Sales is 120,000 and Accounts Receivable is 30,000 with the turnover ratio history of 4.00. Suppose your sales growth projected next year is a 3% increase. How much would be forecasted Accounts Receivable next year and explain how you got it using the turnover ratio method.
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Intermediate Accounting
Authors: Loren A. Nikolai, John D. Bazley, Jefferson P. Jones
11th edition
978-0538467087, 9781111781262, 538467088, 1111781265, 978-0324659139
