Problem on firm average collection period
A company has a current ratio of 1.8, a net income of $160,000, a profit margin of 10%, and an accounts receivable balance of $150,000. (using a 360-day year)
What is the firm's average collection period?
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The amount of the proceeds from the issuance that should be accounted for as the initial carrying value of the bonds payable would be:
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A company has a current ratio of 1.8, a net income of $160,000, a profit margin of 10%, and an accounts receivable balance of $150,000. (using a 360-day year) What is the firm's average collection period?
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