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A firm has sales of 1.2 million and 10 percent of the sales are for cash. The year-end accounts receivable balance is 180000. What is the average collection period using 360 day year.?
Sheliay
average collection period= accounts receivable/daily credit sales %10 of 1.2 million = 120000 = sales for cash 1.2m-120000=1.080000=sales on credit ( divide by 360 to find daily credit sales) ACP=180000/(1080000/360)= 60 days
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ABC Company has an average collection period of 60 days Total credit sales for the year were 3000000 What is the balance in accounts receivable at year-end?
$500,000
A firm has a days sales outstanding of 40 days and its annual sales are 7300000 what is the accounts receivable balance?
For calculating accounts receivable balance we need accounts receivable turnover rate So Accounts receivable turnover rate = number of days in year/annual sales outstanding accounts receivable turnover rate = 360/40 = 9 Accounts receivable balance = 7300000/9 Accounts receivable balance = 811111
Accounts receivable is decreased with a?
Accounts receivable is decreased with credit balance or by receiving the cash from customers.
Does accounts receivable go on a balance sheet as liabilities and equity?
Accounts receivable would appear as an asset (+) on a balance sheet.
Does accounts receivalbe carry a credit or debit balance?
Accounts receivable is an asset of company and like all other assets accounts accounts receivable also has debit balance.
What is average gross accounts receivable?
Average gross accounts recievable is the beginning balance for accounts recievable and the ending balance for A/R divided by two.
ABC Company has an average collection period of 60 days Total credit sales for the year were 3000000 What is the balance in accounts receivable at year-end?
$500,000
On the trial balance sheet AR is what?
AR related to accounts receivable in trial balance sheet of business.
A firm has a days sales outstanding of 40 days and its annual sales are 7300000 what is the accounts receivable balance?
For calculating accounts receivable balance we need accounts receivable turnover rate So Accounts receivable turnover rate = number of days in year/annual sales outstanding accounts receivable turnover rate = 360/40 = 9 Accounts receivable balance = 7300000/9 Accounts receivable balance = 811111
Accounts receivable is decreased with a?
Accounts receivable is decreased with credit balance or by receiving the cash from customers.
Does accounts receivable go on a balance sheet as liabilities and equity?
Accounts receivable would appear as an asset (+) on a balance sheet.
Can accounts receivable normally have a debit balance?
Accounts receivable in an asset account and normally maintains a debit balance. So the answer is Yes.
Does accounts receivalbe carry a credit or debit balance?
Accounts receivable is an asset of company and like all other assets accounts accounts receivable also has debit balance.
Accounts receivable are reported on the balance sheet at?
Accounts receivable shown in balance sheet at assets side under current assets section.
Accounts receivable is under what statement?
Accounts receivable is a benefit receivable in future time that's why it is recorded in balance sheet of company
Does accounts receivable normally have a credit balance?
no
Where do accounts receivable go on the balance sheet?
Paid accounts receivable appears on a balance sheet, to the extent that the amounts paid are deducted from the accounts receivables balance and added to the bank account. Therefore, the effect on the balance sheet would be as follows: decrease in asset- accounts receivables increase in asset- Cash
