Question - 36

Calculate debtors turnover ratio and average collection period from the following data :

  1. Total sales for the year Rs. 4,00,00, cash sales for the year Rs. 80,000; Debtors at the begining of the year Rs. 35,000, Debtors at the end of the year Rs. 45,000.
  2. Total sales Rs. 8,00,000 , cash sales Rs. 2,00,000, Debtors Rs. 75,000.
Calculate debtors turnover ratio if total sales Rs. 5,00,000, Cash sales Rs. 1,40,000, Sales Rs. 3,60,000 debtors at the begining of the year Rs. 32,000, Debtors at the end of the year Rs. 48,000.
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