2 years ago

Decision makers and analysts look deeply into profitability ratios to identify trends in a company's profitability

1 answer:

3 0

Company’s profitability is important for a business to survive and remain strong in giving the benefits that shareholder or investors expect. Profitability ratios help measure a company's ability to generate income and profits based on its invested capital. In addition, most analysts and decision makers used these ratios as an <span>indicator of certain aspects of a company's performance.</span>

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If net sales for the current year were $612,000, the firm's days' sales uncollected for the year is: (Use 365 days a year.)

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Note: The full question is attached as picture below

Account receivable turnover ratio = $612,000 / $70,422

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