A company had total sales of $600,000, net sales of $550,000, and an average accounts receivable of $90,000. Its accounts receivable turnover equals:
A) 54.8
B) 1.1
C) 6.3
D) 6.1
E) 63.0

Name: A company had total sales of $600,000, net sales of $550,000, and an average accounts receivable of $90,000. Its accounts receivable turnover equals: A) 54.8 B) 1.1 C) 6.3 D) 6.1 E) 63.0
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Question

Quizplus · Accepted Answer

Accounts receivable turnover = Net sales / Average accounts receivable
= 550,000 / 90,000
= 6.1

A Company Had Total Sales of $600,000, Net Sales of $550,000