Powers Company reported net sales of $1,200,000,average Accounts Receivable,net of $78,500,and net income of $51,025.The Day's sales uncollected (rounded to whole days)is:
A)24 days.
B)15 days.
C)4 days.
D)562 days.
E)48 days

Question

Quizplus · Accepted Answer

The Day's Sales Uncollected is calculated as (Average Accounts Receivable / Net Sales) * 365. Using the given data: ($78,500 / $1,200,000) * 365 = 23.86, which rounds to 24 days.

Powers Company Reported Net Sales of $1,200,000,average Accounts Receivable,net of $78,500,and