A company has the following data for the current year Beginning accounts receivable $20,000 Ending accounts receivable $25,000 Credit sales $150,000 Cash collections $125,000 Allowance for doubtful accounts $2,500 Calculate the company's accounts receivable turnover ratio, average collection period, and bad debt expense for the year assuming an estimated uncollectible percentage of 2

Question: A company has the following data for the current year: Beginning accounts receivable: $20,000 Ending accounts receivable: $25,000 Credit sales: $150,000 Cash collections: $125,000 Allowance

A company has the following data for the current year:

Beginning accounts receivable: $20,000
Ending accounts receivable: $25,000
Credit sales: $150,000
Cash collections: $125,000
Allowance for doubtful accounts: $2,500

Calculate the company's accounts receivable turnover ratio, average collection period, and bad debt expense for the year assuming an estimated uncollectible percentage of 2%.

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