A company had net sales of $600,000, total sales of $750,000, and an average accounts receivable of $75,000. Its accounts receivable turnover equals:
A) 7.75
B) 10.00
C) 8.00
D) .13
E) .80

Name: A company had net sales of $600,000, total sales of $750,000, and an average accounts receivable of $75,000. Its accounts receivable turnover equals: A) 7.75 B) 10.00 C) 8.00 D) .13 E) .80
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Question

Quizplus · Accepted Answer

Accounts receivable turnover = Total Sales / Average Accounts Receivable
= $750,000 / $75,000 
= 8.00

A Company Had Net Sales of $600,000, Total Sales of $750,000