On average your firm sells $26,500 of items on credit each day. Your average operating cycle is 51 days and your firm acquires and sells inventory on average every 19 days. What is your average accounts receivable balance?
A) $503,500
B) $848,000
C) $1,012,500
D) $1,315,500
E) $1,855,000

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The Answer of On average your firm sells $26,500 of items on credit each day. Your average operating cycle is 51 days and your firm acquires and sells inventory on average every 19 days. What is your average accounts receivable balance?
A) $503,500
B) $848,000
C) $1,012,500
D) $1,315,500
E) $1,855,000

On Average Your Firm Sells $26,500 of Items on Credit