Taylor Glass has annual sales of $1,790,000. Although it extends credit for 30 days (n30), the receivables are 20 days overdue. What is the average accounts receivable outstanding, and how much could the company save in interest expense if customers paid on time and if it costs Taylor Glass 9 percent to carry its receivables? Assume 360 days in a year. Round your answers to the nearest cent. Accounts receivable: $ Interest saved: $
Taylor Glass has annual sales of $1,790,000. Although it extends credit for 30 days (n30), the receivables are 20 days overdue. What is the average accounts receivable outstanding, and how much could the company save in interest expense if customers paid on time and if it costs Taylor Glass 9 percent to carry its receivables? Assume 360 days in a year. Round your answers to the nearest cent. Accounts receivable: $ Interest saved: $
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Taylor Glass has annual sales of $1,790,000. Although it extends credit for 30 days (n30), the receivables are 20 days overdue. What is the average accounts receivable outstanding, and how much could the company save in interest expense if customers paid on time and if it costs Taylor Glass 9 percent to carry its receivables? Assume 360 days in a year. Round your answers to the nearest cent.
Accounts receivable: $
Interest saved: $
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