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Problem-
XYZ's receivables turnover is 4x. The accounts receivable at year-end are $600,000. The average collection period is 90 days. What was the sales figure for the year assuming all sales are on credit?
a). $60,000
b). $6,000,000
c). $2,400,000
d). None of these
Additional Requirement-
The problem relates to Basic Accounting and it discusses about calculation of total sales assuming all sales are on credit.
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