Old Dominion Antiques Shop reported the following income statement and balance sheet for Year 1:
During Year 1, the company's inventory turnover was 3.76 times and its average number of days to days to sell inventory was 97.1 days.Required:Determine the accounts receivable turnover ratio and the average number of days to collect accounts receivable.Determine the length of the operating cycle.

Question

Old Dominion Antiques Shop reported the following income statement and balance sheet for Year 1:
  During Year 1, the company's inventory turnover was 3.76 times and its average number of days to days to sell inventory was 97.1 days.Required:Determine the accounts receivable turnover ratio and the average number of days to collect accounts receivable.Determine the length of the operating cycle.

Quizplus · Accepted Answer

The Answer of Old Dominion Antiques Shop reported the following income statement and balance sheet for Year 1:
  During Year 1, the company's inventory turnover was 3.76 times and its average number of days to days to sell inventory was 97.1 days.Required:Determine the accounts receivable turnover ratio and the average number of days to collect accounts receivable.Determine the length of the operating cycle.

Old Dominion Antiques Shop Reported the Following Income Statement and Balance