Lasiter Corp

question 71

Multiple Choice

Lasiter Corp.reported net credit sales of $2,000,000 and cost of goods sold of $1,400,000 for 2016.On January 1, 2016, accounts receivable was $250,000.Amounts owed by customers increased by $20,000 during 2016.Rounding to two decimal places, what is Lasiter's accounts receivable turnover rate for 2016?

• A) 8.33
• B) 8.00
• C) 7.69
• D) 7.41

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Definitions:

Primarily Rental

Refers to a property whose main use is for renting out to tenants rather than as a primary residence for the owner.

Personal Use

Utilization of property or services for individual or family needs, rather than for business or investment purposes.

Rental

A leasing agreement where an asset is leased out by the owner to another party in exchange for payment.

Royalties

Payments made to authors, artists, or other creators for the use or sale of their original work.