The Following Information Pertains to Ortiz Company What Is the Accounts Receivable Turnover for Ortiz?
A) 1

question 195

Multiple Choice

The following information pertains to Ortiz Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit. $\begin{array}{lr}\text { Assets }\\\text { Cash and short-term investments } & \$ 45,000 \\\text { Accounts receivable (net) } & 40,000 \\\text { Inventory } & 20,000 \\\text { Property, plant and equipment } & 210,000 \\\quad \text { Total Assets } & \$ 305,000 \\\end{array}$


$\begin{array}{lr}\text { Liabilities and Stockholders' Equity }\\\text { Current liabilities } & \$ 50,000 \\\text { Long-term liabilities } & 95,000 \\\text { Stockholders' equity—common } & 160,000 \\\quad \text { Total Liabilities and Stockholders' Equity } & \$ 305,000\end{array}$ $\begin{array}{lr}\text { Income Statement }\\\text { Sales } & \$ 110,000 \\\text { Cost of goods sold } & 66,000 \\\text { Gross profit } & 44,000 \\\text { Operating expenses } & 30,000 \\\quad \text { Net income } & \underline{14,000} \\\\\text { Number of shares of common stock } & 6,000 \\\text { Market price of common stock } & \$ 20 \\\text { Dividends per share } & 50\end{array}$ What is the accounts receivable turnover for Ortiz?

• A) 1.3 times
• B) 1.1 times
• C) 2.8 times
• D) 12.7 times

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Definitions:

REM Sleep

The sleep stage associated with vivid dreaming, marked by rapid movements of the eyes, and considered important for emotional regulation and memory.

Sleep Spindles

Bursts of brain activity visible on an EEG that occur during stage 2 of sleep. They are believed to play a role in sensory processing and long-term memory consolidation.

Narcolepsy

A chronic sleep disorder characterized by overwhelming daytime drowsiness and sudden attacks of sleep.

Irregular Brain Waves

Abnormal patterns in the electrical activity of the brain, potentially indicating neurological disorders.