E-Shop,Inc

question 80

Multiple Choice

e-Shop,Inc.has net sales on account of $1,500,000.The average net accounts receivable are $610,000.Calculate the days' sales in receivables.(Round your answer to two decimal places. )

• A)897.90 days
• B)365.00 days
• C)148.37 days
• D)2.46 days

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Definitions:

Purchasing Department

A division within a business that is responsible for acquiring goods, services, and materials necessary for the company's operations.

Fixed Factory Overhead Volume Variances

The difference between the budgeted and the actual volume of production, affecting the fixed factory overhead costs.

Inventory Levels

The quantity of goods that a company has in stock at any given time, important for meeting demand without overstocking.

Production

The method of producing products and services by merging work, materials, and technology.