LKN Company Had Net Credit Sales of $4,290,000 and Cost

question 25

Multiple Choice

LKN Company had net credit sales of $4,290,000 and cost of goods sold of $3,000,000 for the year. The Accounts Receivable balances at the beginning and end of the year were $600,000 and $700,000, respectively. The accounts receivable turnover ratio was

• A) 7.2 times.
• B) 6.6 times.
• C) 3.3 times.
• D) 6.1 times.

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Definitions:

Pyruvate

A key intermediate compound in cellular metabolism formed from the glycolysis of glucose.

Alcoholic Fermentation

A biochemical process by which sugars are converted into ethanol and carbon dioxide by the action of yeast or bacteria.

Lactate Fermentation

An anaerobic metabolic process by which glucose or other six-carbon sugars are converted into cellular energy and the metabolite lactate.

Aerobic Respiration

A biochemical reaction where cells transform glucose and oxygen into energy, alongside producing carbon dioxide and water.