The Following Balance Sheet Information Was Provided by O'Connor Company

question 80

Multiple Choice

The following balance sheet information was provided by O'Connor Company: $$\begin{array} { l r r } \text { Assets } & \text { Year 2 } & \text { Year } 1 \\\text { Cash } & \$ 4,000 & \$ 2,000 \\\text { Accounts receivable } &15,000 & 12,000\\\text { Inventory } & \$ 35,000 & \$ 38,000 \end{array}$$ Assuming that net credit sales for Year 2 totaled $270,000,what is the company's most recent accounts receivable turnover?

• A) 18 times
• B) 20 times
• C) 22.5 times
• D) 7.7 times

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Definitions:

American Commerce

American commerce consists of all trade and business activities that take place within the United States or between the United States and international markets.

Neutral Carrier

A country or entity that provides transportation of goods or services for other nations without taking sides in conflicts or disputes between those nations.

British And French

Terms relating to the nations of Britain and France, often in the context of their historical conflicts and alliances.

War Of 1812

A military conflict between the United States and Great Britain from 1812 to 1815, mainly over issues of trade restrictions and impressment of American sailors.