Which financial statement(s)do you need to calculate the accounts receivable turnover ratio?
A)only the income statement
B)only the balance sheet
C)both the income statement and the balance sheet
D)both the statement of cash flows and the income statement

Question

Quizplus · Accepted Answer

To calculate the accounts receivable turnover ratio, you need information from both the income statement (for the net credit sales figure) and the balance sheet (for the average accounts receivable figure).

Which Financial Statement(s)do You Need to Calculate the Accounts Receivable