Solution-Receivables turnover average collection period

Receivables turnover average collection period

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Reference no: EM13949088

The following information relates to Arte's Gallery. The owner, P Arte, is concerned about the profitability and liquidity of the business.

ARTE'S GALLERY
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2012
Capital P. Arte 1 July 2011 ............$192 900
LessLoss ...................$84 300
108 600
LessDrawings .................$4,000
Capital P Arte 30 June 2012 ..........$104 600

Additional Information:

All Sales were on credit.

Required:

(a) Calculate the following ratios for 2011 and 2012. Show all calculations. (Where an average figure is not available, add this as a comment.)
Profit Margin Gross Profit margin
Current Ratio Quick Ratio
Receivables Turnover Average Collection Period
Inventory Turnover

Reference no: EM13949088

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Receivables turnover average collection period

Reference no: EM13949088

Reference no: EM13949088

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