$\begin{array}{llcc}
\text { Net sales reverue } &\$345,000 \
\text {Cost of goods sold } &\$205,000\
\text { Average accourts receivable } &\$32,500\
\text { Average irventory } &\$9,450\
\text { Average plart, property ard equipment } &\$81,250\
\text { Average total assets } &\$130,000\
\end{array}$

-According to the above table.Calculate the company's accounts receivable turnover ratio for the current year?
A)10.62
B)4.0
C)4.3
D)6.31

Question

$\begin{array}{llcc}
  \text { Net sales reverue } &\$345,000  \
 \text {Cost of goods sold  } &\$205,000\
 \text { Average accourts receivable } &\$32,500\
 \text { Average irventory } &\$9,450\
 \text { Average plart, property ard equipment } &\$81,250\
 \text { Average total assets } &\$130,000\
\end{array}$
 
-According to the above table.Calculate the company's accounts receivable turnover ratio for the current year?
A)10.62
B)4.0
C)4.3
D)6.31

Quizplus · Accepted Answer

The accounts receivable turnover ratio is calculated by dividing net sales revenue by average accounts receivable. So, $ \frac{\$345,000}{\$32,500} = 10.615 $, which rounds to 10.62.

-According to the Above Table