Compute the current ratio and accounts receivable turnover

Reference no: EM131931387

Problem

Nordstrom, Inc. operates department stores in numerous states. Suppose selected financial statement data (in millions) for 2017 are presented below.

	End of Year	Beginning of Year
Cash and cash equivalents	$ 750	$ 73
Accounts receivable (net)	1,910	1,900
Inventory	840	910
Other current assets	910	417
Total current assets	$4,410	$3,300
Total current liabilities	$2,070	$1,590

For the year, net credit sales were $8,258 million, cost of goods sold was $5,328 million, and net cash provided by operating activities was $1,251 million.

Compute the current ratio, accounts receivable turnover, average collection period, inventory turnover and days in inventory at the end of the current year.

Reference no: EM131931387

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