Data from Concepcion Corporation's Most Recent Balance Sheet and Income

question 89

Multiple Choice

Data from Concepcion Corporation's most recent balance sheet and income statement appear below: $$\begin{array} { l r r } & \text { This Year } & \text { Last Year } \\\text { Accounts receivable......... } & \$ 120,000 & \$ 118,000 \\\text { Inventory ..................... } & \$ 193,000 & \$ 183,000 \\\text { Sales on account ............ } & \$ 800,000 & \\\text { Cost of goods sold ........... } & \$ 512,000 &\end{array}$$ The average collection period for this year is closest to:

• A)54.3 days
• B)7.4 days
• C)7.2 days
• D)54.7 days

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