Use the following selected financial information for Wilcox Corporation to answer questions 11-20.

Wilcox Corporation

Income Statement

For the Year Ended December 31, 20XX

Net sales                                                          $2,870

Cost of goods sold                                            1,985

Gross profit                                                     $   885

Operating expenses                                       620

Operating profit                                              $   265

Interest expense          40

Earnings before taxes $   225

Income tax expense          80

Net profit                                                        $   145

Wilcox Corporation

Balance Sheet

December 31, 20XX

Assets Liabilities and stockholders' equity

Current assets Current liabilities

            Cash                                        $ 25 Accounts payable                    $ 85

            Short-term investments              15      Accrued liabilities                      45

            Accounts receivable       70      Total current liabilities                    130    

            Inventory                                150                             Long-term debt   240

Total current assets                260      Total liabilities                                   370                                                                  

Long-term assets Stockholders' equity

            Net PPE                                    390                            Common stock and PIC   80

            Goodwill                                 210                              Retained earnings 410     

  Total stockholders' equity              490  

Total assets                                       $860   Total liabilities and equity        $860

WilcoxCorporation

Statement of Cash Flow Information

For the Year Ended December 31, 20XX

Cash from operating activities                                    $150

Investing activities:

            Capital expenditures $  60

            Acquisitions    $  10

Financing activities:                                       

            Proceeds from long-term borrowing   $ 50

            Payments on long-term borrowing     $ 25

            Payments of cash dividends               $ 20

Cash paid for interest                                      $ 10

Cash paid for income taxes                             $ 75

  Wilcox’s average collection period is:

	a.	5 days
	b.	9 days
	c.	13 days
	d.	15 days