The Following Selected Financial Information for a Company Was Reported

Essay

The following selected financial information for a company was reported for the current year end. Calculate the following company ratios:
(a) Accounts receivable turnover.
(b) Inventory turnover.
(c) Days' sales uncollected
Accounts receivable, beginning-year……………. $170,000
$\begin{array}{llr} \text {Accounts receivable, year-end. } &190,000\\ \text {Merchandise inventory, beginning-year. } &80,000\\ \text { Merchandise inventory, year-end. } &60,000\\ \text { Cost of goods sold. } &580,000\\\end{array}$
$\begin{array}{llr} \text { Accounts receivable, year-end } &190,000\\ \text { Merchandise inventory, beginning-year. } &80,000\\ \text { Merchandise inventory, year-end. } &60,000\\ \text { Cost of goods sold.} &580,000\\\end{array}$
Credit sales………………………………………... 1,000,000