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If Hot Tubs Inc

Question 43

Multiple Choice

If Hot Tubs Inc.had sales of $2 million per year (all credit) and its days sales outstanding was equal to 35 days,what was its average amount of accounts receivable outstanding (assume a 360-day year) ?


A) $194,444
B) $57,143
C) $5,556
D) $97,222
E) $212,541

Correct Answer:

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