You have new items in your feed. Click to view.
Question and answer
In 2010, Viking Corporation has net credit sales of $850,000 and an average (net) accounts receivable balance of $62,500. The average collection period in terms of days for 2010 is:
The average collection period is the average number of days between 1) the date that a credit sale is made, and 2) the date that the money is received from the customer. [ The average collection period is also referred to as the days’ sales in accounts receivable. The average collection period can be calculated as follows: 365 days in a year divided by the accounts receivable turnover ratio.
Assuming that a company has an accounts receivable turnover ratio of 10 times per year, the average collection period is 36.5 days (365 divided by 10). An alternate way to calculate the average collection period is: the average accounts receivable balance divided by average credit sales per day. If a company offers credit terms of net 30 days, the company may find that its average collection period is actually 45 days or more. Monitoring the average collection period is important for a company’s cash flow and its ability to meet its obligations when they come due. ]
Get an answer
Original conversation
User: The average collection period in terms of days is calculated:

User: In 2010, Viking Corporation has net credit sales of $850,000 and an average (net) accounts receivable balance of $62,500. The average collection period in terms of days for 2010 is:

Weegy: The average collection period is the average number of days between 1) the date that a credit sale is made, and 2) the date that the money is received from the customer. [ The average collection period is also referred to as the days’ sales in accounts receivable. The average collection period can be calculated as follows: 365 days in a year divided by the accounts receivable turnover ratio. Assuming that a company has an accounts receivable turnover ratio of 10 times per year, the average collection period is 36.5 days (365 divided by 10). An alternate way to calculate the average collection period is: the average accounts receivable balance divided by average credit sales per day. If a company offers credit terms of net 30 days, the company may find that its average collection period is actually 45 days or more. Monitoring the average collection period is important for a company’s cash flow and its ability to meet its obligations when they come due. ]
Expert answered|wedekind|Points 270|

Question
Asked 5/8/2012 10:19:07 PM
0 Answers/Comments
New answers
Rating

There are no new answers.

Comments

There are no comments.

Add an answer or comment
Log in or sign up first.
25,801,547 questions answered
Popular Conversations
(3xy - 1) (4xy + 2)
Weegy: (3xy - 1) (4xy + 2) = 12x^2y^2 + 6xy - 4xy - 2 = 12x^2y^2 + 2xy - 2 User: (2x - 3y)(4x - y) Weegy: (2x ...
7/27/2016 2:50:11 PM| 5 Answers
Find the sum of (5x3 + 3x2 - 5x + 4) and (8x3 -5x2 + 8x + 9).
Weegy: (5x3 + 3x2 - 5x + 4) + (8x3 -5x2 + 8x + 9) = 13x^3 2x^2 + 3x + 13 User: Simplify 8 - (-5) - 4(-7). User: ...
7/27/2016 3:23:41 PM| 3 Answers
Why is Nurse so upset? She thinks Juliet should marry Paris. She ...
Weegy: "[N]ow art thou what thou art, by art as well as by nature: for this drivelling love is like a great natural, ...
7/27/2016 6:31:00 AM| 2 Answers
(3xy - 1) (4xy + 2)
Weegy: (3xy - 1) (4xy + 2) = 12x^2y^2 + 6xy - 4xy - 2 = 12x^2y^2 + 2xy - 2 User: [4 - (3c - 1)][6 ...
7/27/2016 2:40:02 PM| 2 Answers
The term Learners with Continuous Partial Attention is applied ...
Weegy: "Learners with Continuous Partial Attention" refers to students who frequently multitask during learning ...
7/27/2016 2:47:48 PM| 2 Answers
Which of the following most accurately describes Juliet's feelings ...
Weegy: She is worried that something has happened to Romeo is most accurately describes Juliet's feelings while waiting ...
7/28/2016 9:29:26 AM| 2 Answers
Where were the first magazines ...
7/27/2016 12:21:53 AM| 1 Answers
Weegy Stuff
S
P
L
Points 594 [Total 1344] Ratings 2 Comments 574 Invitations 0 Offline
S
L
P
P
P
Points 399 [Total 3147] Ratings 0 Comments 399 Invitations 0 Offline
S
P
Points 319 [Total 578] Ratings 1 Comments 309 Invitations 0 Offline
S
Points 317 [Total 738] Ratings 2 Comments 297 Invitations 0 Offline
S
Points 88 [Total 227] Ratings 0 Comments 88 Invitations 0 Offline
S
L
P
P
P
Points 83 [Total 3787] Ratings 0 Comments 83 Invitations 0 Offline
S
Points 21 [Total 71] Ratings 2 Comments 1 Invitations 0 Offline
S
Points 20 [Total 20] Ratings 2 Comments 0 Invitations 0 Offline
S
1
L
L
P
R
P
L
P
P
R
Points 8 [Total 12606] Ratings 0 Comments 8 Invitations 0 Offline
S
Points 5 [Total 5] Ratings 0 Comments 5 Invitations 0 Offline
* Excludes moderators and previous
winners (Include)
Home | Contact | Blog | About | Terms | Privacy | © Purple Inc.