For their last fiscal year, Edelman, Inc. reported the following information: $$\begin{array} { l r }
\text { Accounts Receivable } & \$ 320,000 \
\text { Inventory } & \$ 408,000 \
\text { Sales } & \$ 2,336,000 \
\text { Cost of Goods Sold } & \$ 1,448,000
\end{array}$$ What is the accounts receivables turnover rate?

Question

For their last fiscal year, Edelman, Inc. reported the following information: $$\begin{array} { l r } 
\text { Accounts Receivable } & \$ 320,000 \
\text { Inventory } & \$ 408,000 \
\text { Sales } & \$ 2,336,000 \
\text { Cost of Goods Sold } & \$ 1,448,000
\end{array}$$ What is the accounts receivables turnover rate?

Quizplus · Accepted Answer

The accounts receivables turnover rate is calculated by dividing the total sales by the accounts receivable, which is $2,336,000 / $320,000 = 7.3.

For Their Last Fiscal Year, Edelman, Inc What Is the Accounts Receivables Turnover Rate? A) 7

For Their Last Fiscal Year, Edelman, Inc What Is the Accounts Receivables Turnover Rate?
A) 7