Solved

Financial Statements for March Company Appear Below -March Company's Average Collectionperiod (Age of Receivables)for Year 2 Was

question 190

Multiple Choice

Financial statements for March Company appear below:
$Financial statements for March Company appear below: \begin{array}{|l|r|} \hline&\begin{array}{r} \text { March Company } \\ \text { Income Statement }\\ \text { For the Year Ended December 31, Year } \\ 2 \\ \text { (dollars in thousands) } \\\end{array} \\ \hline \text { Sales (All on Account) } & \$ 1610 \\ \hline \text { Costs of Goods Sold } & \$ 1120 \\ \hline \text { Gross Margin } & \$ 490 \\ \hline \text { Operating Expenses } & \$ 190 \\ \hline \text { Net Operating Income } & \$ 300 \\ \hline \text { Interest Expense } & \$ 50 \\ \hline \text { Net Income before Taxes } & \$ 250 \\ \hline \text { Income Taxes (30\%) } & \$ 75 \\ \hline \text { Net Income } & \$ 175 \\ \hline \end{array} -March Company's average collectionperiod (age of receivables) for Year 2 was closest to which of the following? A) 34.0 days. B) 35.1 days. C) 48.9 days. D) 50.5 days.$
$\begin{array}{|l|r|}\hline&\begin{array}{r}\text { March Company } \\\text { Income Statement }\\\text { For the Year Ended December 31, Year } \\2 \\\text { (dollars in thousands) } \\\end{array} \\\hline \text { Sales (All on Account) } & \$ 1610 \\\hline \text { Costs of Goods Sold } & \$ 1120 \\\hline \text { Gross Margin } & \$ 490 \\\hline \text { Operating Expenses } & \$ 190 \\\hline \text { Net Operating Income } & \$ 300 \\\hline \text { Interest Expense } & \$ 50 \\\hline \text { Net Income before Taxes } & \$ 250 \\\hline \text { Income Taxes (30\%) } & \$ 75 \\\hline \text { Net Income } & \$ 175 \\\hline\end{array}$
-March Company's average collectionperiod (age of receivables) for Year 2 was closest to which of the following?

Identify and understand the function of transformed predicates in sentences.

Utilize parallelism to emphasize the equality and importance of ideas in writing.

Recognize the significance of clarity in writing and how it can be enhanced through organization, structure, and word choice.

Develop strategies for making a message more concise, including the elimination of unnecessary words and phrases.

Definitions:

Expansion Phase

A period in the business cycle when the economy moves from a trough to a peak, characterized by an increase in economic activity, production, and employment.

Prosperity

A state of economic well-being characterized by financial success, growth, and good fortune, where living conditions and quality of life are improved.

Unanticipated Inflation

Inflation that occurs when people do not expect it, often leading to disruptions in economic planning and contracts.

Debtor

An individual or organization that owes money to another entity.