A Company had net sales of $23,000 million, and its average account receivables were $5,700 million. Its accounts receivable turnover is 0.24.
Accounts Receivable Turnover = Net Sales/Average Accounts Receivable
Accounts Receivable Turnover = $23,000/$5,700 = 4.0

Question

Quizplus · Accepted Answer

The calculation provided for accounts receivable turnover is incorrect. The correct calculation is: Accounts Receivable Turnover = Net Sales/Average Accounts Receivable = $23,000 million/$5,700 million = 4.04.

A Company Had Net Sales of $23,000 Million, and Its