The Following Information Is Available for the Wetzel Company What Is the Average Collection Period in Days for the

question 1

Multiple Choice

The following information is available for the Wetzel Company:
$\begin{array} { l } \text {Net income for the year ended December 31,2014 }&\$127.4\\ \text {Credit sales for the year ended December 31,2014 }&\$1,606.0\\ \text {Retained earnings, December 31,2014 }&150.0\\ \text {Retained earnings, December 31, 2013 }&180.0\\ \text {Total assets, December 31, 2014 }&470.0\\ \text {Total assets, December 31, 2013 }&442.0\\ \text { Total liabilities, December 31, 2014}&240.0\\ \text { Total liabilities, December 31, 2013}&182.0\\ \text {Accounts Receivable, December 31, 2014 }&180.0\\ \text {Accounts Receivable December 31,2013 }&144.0\\\end{array}$

What is the average collection period in days for the year ended December 31,2014?

• A) 5.0
• B) 36.8
• C) 40.9
• D) 77.3

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Definitions:

Corporate Citizenship

The social responsibility of a company to its environment and community, involving efforts to contribute positively to societal goals.

Profits

The financial gain obtained when revenues generated from business activities exceed the expenses, costs, and taxes associated with sustaining the business.

Dividends

Payments made by a corporation to its shareholders from its profits.

Codes of Conduct

Written guidelines that outline the expected ethical behaviors and norms for individuals within an organization or profession.