Sales for the year for Victor Company were $1,000,000, 70 percent of which were on credit. The average gross profit on sales was 40 percent. Additional account balances were:

Required:
Compute the turnover for the accounts receivable and inventory, the average days to collect receivables, and the average days to sell inventory.

Transcribed Image Text:

Accounts receivable (net) Inventory Ending Beginning $60,000 25,000 $45,000