Solution-How much would the capital invested in accounts

How much would the capital invested in accounts receivable

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A company has sales of $3,680,000 per year. Its average net accounts receivable balance is $920,000.

Problem 1. What is the average number of days accounts receivable are outstanding?

Problem 2. By how much would the capital invested in accounts receivable be reduced if the turnover could be increased to 6 without a loss of sales?

Reference no: EM132950298

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How much would the capital invested in accounts receivable

Reference no: EM132950298

Reference no: EM132950298

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