14) What is the accounts receivable turnover ratio and how do decision makers use it to evaluate companies? 15) Team Shirts had average net accounts receivable of $1,450 and credit sales of...

14) What is the accounts receivable turnover ratio and how do decision makers use it to evaluate companies?

15) Team Shirts had average net accounts receivable of $1,450 and credit sales of $36,250. Calculate the accounts receivable turnover for the period.

16) Quality Auto Parts had credit sales of $50,889. Average net accounts receivable were $566. Calculate the accounts receivable turnover for the period.

17) During August, Quality Auto Parts had credit sales of $88,500, of which $20,000 were sales to companies in foreign countries. Average net receivables were $2,950. Calculate the accounts receivable turnover.

18)

Team Instructions

: Divide the class into teams of three or four people. Each team member should work the following problem separately outside of class. Then give the students time in class to compare answers with their teammates and put together a final correct copy of the problem. Each team should turn in only one copy of the problem for grading, along with the annual report that they used. All team members will receive the same grade.

Provide students with copies of real merchandising companies’ annual reports, or give students the Web addresses of real merchandising companies and ask them to print out the annual reports. All team members should work with the same company’s annual report.

Answer the following questions using the annual report assigned to your team: