Mifflin Co. reported the following for the current year: net sales of $60,000; cost of goods sold
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Mifflin Co. reported the following for the current year: net sales of $60,000; cost of goods sold of $38,000; beginning balance in accounts receivable of $14,000; and ending balance in accounts receivable of $6,000. Compute
(a) Accounts receivable turnover
(b) Days’ sales uncollected. Round to one decimal.
Recall that accounts receivable turnover uses average accounts receivable and days’ sales uncollected uses the ending balance in accounts receivable.
Accounts ReceivableAccounts 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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