What is TDD Two Doors Down Inc has weekly credit sales of 40
What is TDD
| Two Doors Down, Inc., has weekly credit sales of $40,100, and the average collection period is 28 days. (Enter your answer as directed, but do not round intermediate calculations.) |
Solution
weekly credit sales = 40100
so daily credit sales = 40100/7
average collection period = 28 days
average account recievable = daily credit sales * number of days of collection period
= 40100/7 * 28
= $160,400 ..........ans
