Practice Exam I-Finance 301
AR turnover = Sales/ Avg. accounts receivable. X / 150,000. PM = NI/Sales.1 = 180,000/X X = 1,800,000 for sales. SO… 1,800,000/150,000 = 12 AR turnover. ACP = 365/12= 30.4 days it takes about 30 days on average to collect back from customers. 14. External Financing and Growth: The most recent financial statements for Last in Line, Inc., are ... ................
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