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Question - Vaughn Garden Supplies reported the following information for 2021 and 2022.
2022
2021
Assets
Cash
$50000
$44000
Accounts receivable
39000
28000
Inventory
30000
21000
Property, plant, and equipment
243000
209000
Total assets
$362000
$302000
Liabilities and Shareholders' Equity
Current liabilities
$61000
$62000
Non-current liabilities
112000
93000
Shareholders' equity - common
189000
147000
Total liabilities and shareholders' equity
Statement of income for 2022
Sales
$113900
Cost of goods sold
40000
Gross profit
73900
Operating expenses
19000
Income before income tax
54900
Income tax expense
4900
Net income
Required - What is the receivables turnover ratio for 2022?
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