Case A

Dr$.$ Popper, is a leading worldwide integrated brand owner, bottler, and distributor of non$-$alcoholic beverages.

The following represents selected data from recent financial statements of Dr$.$ Popper $($dollars in millions$)$:

Dr$.$ Popper

Consolidated Balance Sheets $($partial$)$

$($in millions$)$ December $31,20$x$3$ December $31,20$x$2$

Assets

Current assets:

Cash and cash equivalents $ $220$ $ $62$

Accounts receivable $($net of allowances of $$19$ and $$26,$ respectively$)530540$

Consolidated Statements of Income $($partial$)$

$($in millions$)$ For the Year Ended December $31$

$20$x$320$x$220$x$1$

Net sales $ $5,700$ $ $5,580$ $ $5,578$

Net income $ $884$ $ $860$ $ $730$

Source: Dr$.$ Popper

The company also reported bad debt expense of $$6$ million in $20$x$3,$ $$12$ million in $20$x$2,$ and $$8$ million in $20$x$1.$

Required:

Record the company$$s write$-$offs of uncollectible accounts for $20$x$3.$

Assuming all sales were on credit, what amount of cash did Dr$.$ Popper collect from customers in $20$x$3?$

Compute the company$$s net profit margin for the three years presented.