The Flower Company Had Net Sales of $830,000 for the Year

Essay

The Flower Company had net sales of $830,000 for the year. Its receivables at the beginning of the year were $47,000 and at the end of the year they had increased to $52,000. The Flower Company has credit terms of net 10 days. Compute the days' sales in average receivables and evaluate the ratio as strong or weak. Round all calculations to the nearest dollar or whole day.