<u>Answer:</u> 41 days
<u>Explanation:</u>
Given
Net credit sales 720000
Accounts receivable opening balance 70000
Accounts receivable closing balance 90000
Average accounts receivable = (opening balance + closing balance) / 2
=(70000+90000)
=160000/2
=80000
Accounts receivable turnover ratio = net sales/ average accounts receivable
=720000/80000
=9 times
Average collection period for accounts receivables
= 365/ accounts receivable turnover ratio
=365/9
=40.5
Average collection period for accounts receivables is 41 days
Answer:
Carrying costs
Explanation:
Carrying costs are the costs associated with holding inventory including maintenance, building rent and utilities, storage space, and insurance.
Answer:
rate = 1.3085%
Amount after 10 years with no withdrawals nor deposits : 2,277.66
Explanation:
the formula for compound interest is as follow:
We plug our values and solve for rate:
r = 2,026.17 /2,000 - 1 = 0.013085 = 1.3085%
in ten years we have:
Amount = 2,277.66