The Following Balance Sheet Information Was Provided by O'Connor Company

The following balance sheet information was provided by O'Connor Company: Assuming that net credit sales for Year 2 totaled $270,000, what is the company's most recent accounts receivable turnover?
$$\begin{array} { | l | r r | r r | } \hline \text { Assets } & & 2014 & 2013 \\\hline \text { Cash } & \$ & 4,000 & \$ & 2,000 \\\hline \text { Accounts receivable } & & 15,000 & & 12,000 \\\hline \text { Inventory } & \$ & 35,000 & \$ 38,000 \\\hline\end{array}$$

A) 18 times
B) 20 times
C) 22.5 times
D) 7.7 times

Correct Answer:

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