| | Company A | Company B | | :--- | :--- | :--- | | Sales | $413,547 | 15,741 | | COGS | 18,821 | 8,313 | | Average A/R (accounts receivable average) | 1,582 | 1,357 | | Average Inventory | 1,574 | 1,163 | | Average A/P (Account payable average) | 2,433 | 2,348 |
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Step 1
For Company A: Average Accounts Receivable = ($18,000 + $0) / 2 Average Accounts Receivable = $9,000 For Company B: Average Accounts Receivable = ($8,000 + $13,000) / 2 Average Accounts Receivable = $10,500 ** Show more…
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