Ruby Falls has an average collection period of 35 days.Its average daily investment in receivables is $71,000.What are annual credit sales?
A)$727,272
B)$740,429
C)$914,414
D)$1,450,200
E)$1,707,500

Name: Ruby Falls has an average collection period of 35 days.Its average daily investment in receivables is $71,000.What are annual credit sales? A)$727,272 B)$740,429 C)$914,414 D)$1,450,200 E)$1,707,500
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Average collection period = ($71,000/35)(365) = $740,429

Ruby Falls Has an Average Collection Period of 35 Days