Wellman Company has cash of $80,000, net accounts receivable of $180,000, and net sales of $1,440,000 Last years net accounts receivable were $140,000 Compute the following ratios (a) Receivables turnover (b) Days sales uncollected (Round to the nearest whole day ) ...

a Receivables Net Sales Turnover Average ...

Wellman Company has cash of $80,000, net accounts receivable of $180,000, and net sales of $1,440,000. Last

Question:

Wellman Company has cash of $80,000, net of $180,000, and net sales of $1,440,000. Last year’s net were $140,000. Compute the following ratios:
(a) Receivables turnover
(b) Days’ sales uncollected. (Round to the nearest whole day.)

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...