A firm has sales of $1.2 million, and 10 percent of the sales are for cash. The

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A firm has sales of $1.2 million, and 10 percent of the sales are for cash. The year end accounts receivable balance is $360,000. What is the average collection period?

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...
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Foundations of Financial Management

ISBN: 978-1259024979

10th Canadian edition

Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta

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