Question

Question 14 of 40 -/5.63 E The 2020 2021 and 2022 partial balance sheets for Blossom Manufacturing Company appear below. 2020 2021 2022 Current assets Cash Accounts receivable.net Inventory Total current assets Plant & equipment, net Total assets $21000 $ 17000 15000 29000 21000 25000 23000 31000 29000 73000 69000 69000 63000 61000 41000 $136000 $130000 $110000 Net credit sales for Blossom were $127000 for 2020. $121000 for 2021 and $115000 for 2022 while cost of goods sold was $85000 for 2020, 583000 for 2021 and $73000 for 2022 What is the accounts receivable turnover for 2021? 0 3.61 times O 4.48 times O 5.76 times 4 B4 times MacBook Pro actor URL 2 3 a 34 5 6 7 7 8 9 0 Q w E R т T Y U O { P А s caps lock D F G Н. J к L L return 2 Z X х C V B N > M ? 1 26 € control option command command option

Answer 1

Answer: Option-(d): 4.84 times Workings: Receivable turnover ratio = Net credit sales for the year / Average accounts receivable 2021 $121,000 Net credit sales for the year Accounts receivable - 2020 Accounts receivable - 2021 Average accounts receivable Receivable turnover ratio (Times) $29,000 $21,000 $25,000 [($29000 + $21000) / 2] 4.84 ($121000 / $25000]