Lasiter Corp

question 29

Multiple Choice

Lasiter Corp.reported net credit sales of $2,000,000 and cost of goods sold of $1,400,000 for 2014.On January 1, 2014, accounts receivable was $250,000.Amounts owed by customers increased by $20,000 during 2014.Rounding to two decimal places, what is Lasiter's accounts receivable turnover rate for 2014?

• A)8.33
• B)8.00
• C)7.69
• D)7.41

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Definitions:

Product Line Extension

The addition of new products to an existing product line within the same brand, usually to target a different customer segment or fill a gap in the product offering.

New-Product Strategies

The plans and approaches a business undertakes to bring new products to the market effectively.

Product Diversification

A strategy employed by companies to increase profitability and achieve growth by adding new products or entering into different markets that differ from the existing lineup.

Brand Extension

The strategy of using an established brand name to launch a new or modified product in a different category.