The Following Balance Sheet Information Was Provided by Western Company

The following balance sheet information was provided by Western Company: Assuming Year 2 net credit sales totaled $270,000, what was the company's average days to collect receivables? (Use 365 days in a year. Do not round your intermediate calculations.) $$\begin{array} { | l | r r | r r | } \hline \text { Assets } & & 2014 & 2013 \\\hline \text { Cash } & \$ & 4,000 & \$ & 2,000 \\\hline \text { Accounts receivable } & & 15,000 & & 12,000 \\\hline \text { Inventory } & \$ & 35,000 & \$ 38,000 \\\hline\end{array}$$

A) 18.25 days
B) 47.31 days
C) 16.22 days
D) 20.28 days

Correct Answer:

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