With a beginning Accounts Receivable balance of $76,000; an ending Accounts Receivable balance of $124,000; and Sales of $900,000, the Accounts Receivable turnover is: (Round your final answer to two decimal places.)
A)9.00.
B)11.84.
C)23.68.
D)14.47.

Question

Quizplus · Accepted Answer

The Accounts Receivable turnover is calculated as Sales divided by the average Accounts Receivable balance. The average Accounts Receivable is ($76,000 + $124,000) / 2 = $100,000. Therefore, the turnover is $900,000 / $100,000 = 9.00.

With a Beginning Accounts Receivable Balance of $76,000; an Ending