The following data were taken from The Candy Corporation's 2018 annual report. All dollar amounts are in millions. Fiscal Years Ending December 31, 2018 $8,000 618 December 31, 2017 $7,600 612 Sales Accounts receivable Required a. Compute Candy's accounts receivable turnover ratios for 2018 and 2017. (Round your answers to 1 decimal place.) D. Compute Candy's average days to collect accounts receivables for 2018 and 2017. (Do not round intermediate calculati your answers to the nearest whole number.) C. Based on the ratios computed in Requirements a and b, did Candy's performance get better or worse from 2017 to 2018 H. Assume it took Candy 30 days to collect its receivables. Using an interest rate of 2.0 percent, calculate how much it cost finance its receivables for 30 days in 2018. (Do not round intermediate calculations. Enter your answers in millions of

The following data were taken from The Candy Corporation's 2018 annual report. All dollar amounts are in millions. Fiscal Years Ending December 31, 2018 $8,000 618 December 31, 2017 $7,600 612 Sales Accounts receivable Required a. Compute Candy's accounts receivable turnover ratios for 2018 and 2017. (Round your answers to 1 decimal place.) D. Compute Candy's average days to collect accounts receivables for 2018 and 2017. (Do not round intermediate calculati your answers to the nearest whole number.) C. Based on the ratios computed in Requirements a and b, did Candy's performance get better or worse from 2017 to 2018 H. Assume it took Candy 30 days to collect its receivables. Using an interest rate of 2.0 percent, calculate how much it cost finance its receivables for 30 days in 2018. (Do not round intermediate calculations. Enter your answers in millions of

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 8PA: The following select financial statement information from Candid Photography. Compute the accounts...

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The following select financial statement information from Candid Photography. Compute the accounts receivable turnover ratios and the number of days sales in receivables ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Candid Photography if industry average for accounts receivable turnover ratio is 3 times and days sales in receivables ratio is 150 days?
Using the following select financial statement information from Mover Supply Depot, compute the accounts receivable turnover ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Mover Supply Depot if the industry average is 4 times?
The following select financial statement information from Vortex Computing. Compute the accounts receivable turnover ratios and the number of days sales in receivables ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Vortex Computing if industry average for accounts receivable turnover ratio is 4 times and days sales in receivables ratio is 85 days?
Millennial Manufacturing has net credit sales for 2018 in the amount of $1,433,630, beginning accounts receivable balance of $585,900, and an ending accounts receivable balance of $621,450. Compute the accounts receivable turnover ratio and the number of days sales in receivables ratio for 2018 (round answers to two decimal places). What do the outcomes tell a potential investor about Millennial Manufacturing if industry average is 2.6 times and number of days sales ratio is 180 days?
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South Rims has an accounts receivable balance at the end of 2018 of $357,470. The net credit sales for the year are $769,346. The balance at the end of 2017 was $325,300. What is the accounts receivable turnover rate for 2018 (rounded to two decimal places)? A. 2.02 times B. 2.25 times C. 2.15 times D. 1.13 times
Inferring Accounts Receivable Amounts At the end of 2019, Karras Inc. had a debit balance of 141,120 in its accounts receivable. Additionally, Karras had a credit balance in its allowance for doubtful accounts of 4,350 and 9,420 at the beginning and end of the year, respectively. During the year, Karras made credit sales of 1,530,000, collected receivables in the amount of 1,445,700, and recorded bad debt expense of 83, 750. Required: Next Level Compute the amount of accounts receivable that Karras wrote off during the year and the amount of accounts receivable at the beginning of the year.
Ratio Analysis The following information was taken from Nash Inc.s trial balances as of December 31, 2018, and December 31, 2019. Required: 1. Calculate the net profit margin and accounts receivable turnover for 2019. ( Note: Round answers to two decimal places.) 2. How much does Nash make on each sales dollar? 3. How many days does the average receivable take to be paid (assuming all sales are on account)?
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