Question

New Tab term 1 (Fall 2020) Question 14 of 40 > - /5.63 The 2020 2021 and 2022 partial balance sheets for Ivanhoe Manufacturing Company appear below. 2020 2021 2022 Current assets Cash Accounts receivable.net Inventory Total current assets Plant & equipment, net Total assets $35000 $ 31000 $ 29000 43000 35000 39000 37000 45000 43000 115000 111000 111000 77000 75000 55000 $192000 $186000 $166000 Net credit sales for Ivanhoe were $141000 for 2020, $134940 for 2021 and $129000 for 2022, while cost of goods sold was $99000 for 2020,597000 for 2021 and $87000 for 2022 What is the accounts receivable turnover for 2021? O 329 times 0 262 times 3.46 times O 3.86 times Save for later Attempts: 0 of 1 used Submit Answer

Answer 1

Particulars	2020	2021	2022
Current Assets
Cash	35,000	31,000	29,000
Accounts Receivables	43,000	35,000	39,000
Inventory	37,000	45,000	43,000
Total current Assets	1,15,000	1,11,000	1,11,000
Non Current Assets
Plant & Equipment Net	77,000	75,000	55,000
Total Non Current Assets	77,000	75,000	55,000
Total Assets	1,92,000	1,86,000	1,66,000
Credit Sales	1,41,000	1,34,940	1,29,000
Cost of Goods Sold	(99,000)	(97,000)	(87,000)
Gross Profit	42,000	37,940	42,000

Year	Debtors
	Particulars	Amount	Particulars	Amount
2020	Balance	43,000	Cash Collected	1,49,000
	Credit Sales	1,41,000	Balance	35,000
	TOTAL	1,84,000	TOTAL	1,84,000
2021	Balance	35,000	Cash Collected	1,30,940
	Credit Sales	1,34,940	Balance	39,000
	TOTAL	1,69,940	TOTAL	1,69,940
2022	Balance	39,000	Cash Collected	-
	Credit Sales	1,29,000	Balance	1,68,000
	TOTAL	1,68,000	TOTAL	1,68,000

Average Accounts Receivables	=35,000+39,000/2	=54,500
Net Credit Sales	=1,34,940
Accounts Receivables =	1,34,940/54,500 =	2.47 Times