Compute accounts receivable turnover

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Reference no: EM131780112

Question: Kinder Company has these comparative balance sheet data: KINDER COMPANY Balance Sheets December 31 2014 2013

Cash $ 21,510 $ 43,020

Accounts receivable (net) 100,380 86,040

Inventory 86,040 71,700

Plant assets (net) 286,800 258,120 $494,730 $458,880

Accounts payable $ 71,700 $ 86,040

Mortgage payable (15%) 143,400 143,400

Common stock, $10 par 200,760 172,080

Retained earnings 78,870 57,360 $494,730 $458,880

Additional information for 2014:

1. Net income was $27,600.

2. Sales on account were $381,100. Sales returns and allowances amounted to $29,600.

3. Cost of goods sold was $202,200.

4. Net cash provided by operating activities was $57,500.

5. Capital expenditures were $26,800, and cash dividends were $19,200. Compute the following ratios at December 31, 2014. (Round all answers to 2 decimal places, e.g. 1.83.)

(a) Current ratio. :1

(b) Accounts receivable turnover. times

(d) Inventory turnover. times

(e) Days in inventory. days

(f) Cash debt coverage ratio. times

(g) Current cash debt coverage ratio. times

(h) Free cash flow. $

Reference no: EM131780112

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