Problem: On December 31, G Company provided the following information:                                                  January 1             December 31 Accounts receivable                     $ 3,600                      $ 4,900 Allowance for doubtful accounts        200                            300 Total revenue                                                                 $38,800 Cash sales                                                                         2,800 G Company’s accounts receivable turnover ratio was: a) 9.7 b) 9.1 c) 9.0 d) 8.5

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Problem Details

On December 31, G Company provided the following information:

                                                 January 1             December 31
Accounts receivable                     $ 3,600                      $ 4,900
Allowance for doubtful accounts        200                            300
Total revenue                                                                 $38,800
Cash sales                                                                         2,800

G Company’s accounts receivable turnover ratio was:

a) 9.7

b) 9.1

c) 9.0

d) 8.5

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