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What is the formula for determining run rate?

Current revenue for one month x 12
Current revenue for one month / 12
Current revenue for one month - 12
Current revenue for one month + 12

Answers

Answer 1

To calculate run rate, take your current revenue over a certain time period—let's say it's one month. Multiply that by 12 (to get a year's worth of revenue). If you made $15,000 in revenue for each month, your annual run rate would be $15,000 x 12, or $180,000.


Related Questions

1. what is (keynesian) fiscal policy? (explain/discuss with emphasis what is the difference between discretionary fiscal policy and automatic stabilizers? why is this important?

Answers

Fiscal policy is using authorities' spending and taxation to steer the economic system. Governments usually use financial coverage to sell robust, sustainable increases and decreases in poverty.Discretionary fiscal policy is a planned strive through the authorities to stabilize the economic system thru taxes and spending, even as automated stabilizers are fees and tax sales which can be non-planned and routinely extra de ranges to be able to stabilize the economic system.Automatic stabilizers have a comparative benefit over discretionary measures as they're timely, temporary, and targeted. Further, even as they're usually powerful in stabilizing family profits in maximum OECD economies, there are large variations throughout countries.

There are three kinds of fiscal policy. They are namely:

Neutral policy. Expansionary policy.Contractionary policy.

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esther pays $532 per month for 4 years for a car. she made a down payment of $3,700. if the loan costs 7.1% per year compounded monthly, what was the cash price of the car? a) $33,131.29 b) $18,473.44 c) $25,731.29 d) $22,173.44 e) $25,873.44 f) none of the above.

Answers

$25873.44 is the cash price of the car. The price paid or received for immediate delivery of a good or asset is known as the cash price. The current supply and demand for that good or asset determines the cash price.

What is cash price?

The price paid or received for immediate delivery of a good or asset is known as the cash price. The current supply and demand for that good or asset determines the cash price. Cash prices, sometimes referred to as spot prices, are used to set the pricing for futures or forwards and are associated with them.

The price at which items may be purchased using cash as payment, often known as the cash price of the commodities. The total sum that the hire-purchaser is required to pay under the terms of the agreement is referred to as the hire-purchase price. The Price to Cash Ratio aims to determine a share's value in relation to its Cash holdings.

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The manager of a 150-unit apartment complex knows from experience that all units will be occupied if the rent is $1000 per month. A market survey suggests that, on average, one additional unit will remain vacant for each $20 increase in rent. What rent should the manager charge to maximize revenue?.

Answers

The manager should charge a rent of $2500 to maximize the revenue from the apartment complex and increase the profit

x = $20 increases

Price = $1000+20x

Quantity = 150-x

a. The first step is to find revenue by coming up with an equation

Revenue = Price × Revenue

R(x) = (1000+20x) (150-x)

b. The second step is to maximize the revenue

R(x) = (- 20x^2 + 2000x + 150000)

c. The third step is to find the derivative and set it to zero

R(x) = (2000x - 150000)

150000 = 2000x

x = 75

d. The fourth step is to  determine the rent that the manager should  charge to maximize revenue

Price=$1000+20x

Price=$1000+20(75)

Price=$1000 + 1500

Price=$2500

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planning for which of the following products would see the least benefit from the use of an mrp system? multiple choice microwave ovens mobile phones shampoo power lawn mowers

Answers

Shampoo. products would see the least benefit from the use of an MRP system.The greatest benefit from MRP is attained when planning complex, discrete products that are assembled such as microwave ovens, mobile phones, and power lawnmowers.

What is MRP system?

A system called MRP is used to schedule manufacturing production. With the aim of satisfying customer needs and boosting overall productivity, it identifies necessary materials, estimates quantities, determines when materials will be required to meet the production schedule, and manages delivery timing.

An essential control parameter of SAP's MRP processing is an MRP type. It is defined in the material master of production-relevant materials and generally regulates the set of actions that take place throughout an MRP run. ND, PD,P1,P2, and additional MRP types are among the numerous  types.

The Master Production Schedule (MPS), Inventory Status File (ISF), and Bill of Materials are the three fundamental inputs of an MRP system (BOM).

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is 12b-item7 10 points ebookprintreferencescheck my workcheck my work button is now enableditem 7 the common stock of the p.u.t.t. corporation has been trading in a narrow price range for the past month, and you are convinced it is going to break far out of that range in the next 3 months. you do not know whether it will go up or down, however. the current price of the stock is $85 per share, and the price of a 3-month call option at an exercise price of $85 is $8.00. a. if the risk-free interest rate is 9% per year, what must be the price of a 3-month put option on p.u.t.t. stock at an exercise price of $85? (the stock pays no dividends.)

Answers

The price of a 3 month put option stock will be $6.19.

The difference between the price at which we can sell the underlying asset to the writer and the price at which the asset can be sold/bought in the market is the value of a put option.

Calculation for the price of a 3-month put option on P.U.T.T. stock

Using this formula

P = C-S+[X/(1+r)T]

Where,

C represent call option price =$ 8

S represent stock price = $85

X represent exercise price =$85

T represent time period of put option =3 or 1/4months

R represent risk free return = 9%

P = C-S+[X/(1+r)T]

P = 8-85+[85/(1+0.9)1/4]

P = 8-85+[85/(1.9)1/4]

P = $6.19

Therefore the price of a 3 month put option stock will be $6.19

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customer relationship management (crm) is based on the idea that retailers can increase their earnings by

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Customer relationship management(CRM) is based on idea that retailers can increase earnings by providing a better selection of merchandise.

Who is a Customer relationship management?

Customer relationship management (CRM) is a process that allows businesses and other organizations to manage their interactions with customers by studying vast amounts of data and using data analysis in most cases.

They enable companies to gain a better understanding of the needs of their target markets and how to best meet those needs, retaining customers and boosting sales. With past, present, or potential customers, CRM can be applied. CRM stands for customer relationship management, and it refers to the ideas, practices, and guidelines that a business uses to communicate with its clients. The market for CRM is expected to reach $69 billion globally in 2020, according to Gartner.

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identify and explain how the intensification of trade brought prosperity and disruption to merchants and governments in the trading area.

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In the trading region of the Indian Ocean, Aegean, Sahara, and overland Eurasia, the new global circulation of products and the increase of trade riches and upheaval to businesses and governments.

What is trading and how it is work?

To put it simply, trading is the act of acquiring and transferring financial products with the intention of profiting from variations in their price movements, but without really being the owner of those instruments.

A job is trading?

The entry hurdle to trading is often perceived as being high, yet if you're persistent and motivated, you can earn a living at it. Trading could result in a full-time career, a part-time one, or yet another source of income.

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process of identifying other organizationas that ar ebest at some facet of your operations and then modeling your organziation after them is known as

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The process of identifying other organizations that are best at some facet of your operations and then modeling your organization after they are known as benchmarking.

Benchmarking is a tool for assessing and comparing overall performance to be able to obtain non-stop development. It's far part of a complete first-rate control system, and consists of the subsequent key elements: focuses on tactics instead of consequences; Encourages records sharing; and.

Benchmarking way of comparing or checking something by comparison with a trend. Etymologically, it derives from the time period benchmark, a surveyor's mark used as a reference factor in measuring altitudes.

Aggressive benchmarking is the system of comparing your organization in opposition to a number of competitions and the usage of a hard and fast collection of metrics. This is used to measure the performance of an employer and examine it with others through the years. This can frequently include looking at the practice behind those metrics as properly.

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those organizations that assist in the movement of goods and services from producer to industrial and consumer users are known as: a. directed marketers b. marketing intermediaries c. supplementary marketers d. distributive specialists

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Marketing intermediaries are organizations that help in assisting in the movement of goods and services from producers to industrial and consumer users.

Marketing intermediaries act as a distributive channel linking producers to the consumer with the middle functionary things in order to deliver the optimum level of services to the consumers. Producers of the product do not supply their products directly to the final consumer, they take the help of marketing intermediaries who assist and help in distribution through various phrases.

Structuring the right channel for the distribution of the products is a challenging task for marketing specialists. Some of the intermediaries such as wholesalers, retailers, brokers, and distributors all together help in sending finished goods and services to the consumers as a middleman for that company.

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which of the following is included in gdp? multiple choice welfare payments received by some households payments received from selling stocks in one's portfolio cash gifts from relatives during the holidays fees received by stockbrokers

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The following is included in GDP Fees received by stockbrokers.

The fee a stockbroker earns at the sale of monetary gadgets is protected in GDP, so if a stockbroker sells $10,000 in shares this 12 months and charges $two hundred in commissions (fees), then the $two hundred is protected on this 12 months's GDP, however the $10,000 is not. The calculation of a country's GDP encompasses all personal and public consumption, authorities outlays, investments, additions to personal inventories, paid-in creation costs, and the overseas stability of trade.  (Exports are delivered to the fee and imports are subtracted).

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what might explain why the insurance companies would require a slightly higher effective annual yield on the coupon bonds compared to the bonds with no coupons?

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Bonds with longer maturities yield more than those with shorter maturities under a normal yield curve. Regular coupon interest payments are like little zero-coupon bonds that mature earlier since they are due before the bond's maturity date.

Because zero coupon bonds do not offer any coupons that can be reinvested, long-term bonds have higher yields than short-term bonds under a normal yield curve. Interest payments shorten the waiting period and lower the risk, which lowers predicted returns as well.

The return on a bond when the bondholder reinvests interest payments (or coupons) at the same rate is known as the effective yield. In contrast to nominal yield, which is the reported interest rate of the investment, effective yield is the overall yield received by the investor.

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when a new internal service fund is established with a transfer of funds (not to be repaid), which account would be credited in the internal service fund?

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If  a new internal service fund is established with a transfer of funds (not to be repaid), The  account that would be credited in the internal service fund is: B. Interfund Transfer In.

What is Interfund Transfer In?

Inter-fund Transfer In can be defined as  the process of moving or transferring fund from one fund account  into another fund account.

Based on the information given interfund transfer in will be credited while cash will be debited in the internal service fund.

Therefore the correct option is B.

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The complete question is:

When a new internal service fund is established with a transfer of funds (not to be repaid), which account would be credited in the internal service fund?

Cash.

Interfund Transfer In.

Interfund Transfer Out.

Estimated Revenues.

what type of provision is standard with either the mortgage or the deed of trust, but is included in the promissory note rather than the security instrument?

Answers

Power of Sale is standard with either the mortgage or the deed of trust, but is included in the promissory note rather than the security instrument.

A promissory note normally includes all of the phrases referring to the indebtedness, such as the fundamental quantity, interest charge, adulthood date, date and vicinity of issuance, and provider's signature.

Promissory notes are legally binding whether or not the word is secured through collateral or based totally best on the promise of repayment. in case you lend money to someone who defaults on a promissory word and does not pay off, you could legally possess any assets that person promised as collateral.

A promissory note is a agreement that spells out the terms of a loan. It reduces misunderstandings and provides a felony treatment if the borrower doesn't pay or the lender oversteps its rights.

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the market system directs resources to the production of goods and services that are the most desired by society. which market system virtue does this reflect?

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The enhanced productivity, innovation, and efficiency of a market economy are notable advantages.

A market economy is a form of economic system in which supply and demand, rather than government intervention, control the economy. An economy with a fully free market is one in which every resource is privately owned.

Which four market systems are there?

The four types of economic market structures are oligopoly, monopoly, perfect competition, and monopolistic competition. The following characteristics explain why the categories are different: In oligopoly, there are few producers, many in perfect and monopolistic competition, and one in monopoly. The organisational layout and other features of a market serve as the best definition of the market structure. We concentrate on factors that influence price and the nature of competition, but it's crucial to avoid putting too much emphasis on the market share of already-existing companies in an industry. The word "market" typically refers to a specific location where goods are bought and sold, but in the field of economics, it has a much broader definition.

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which one is not a function of money? question 25 options: medium of exchange a store of value a unit of account a tool to promote innovation in the long run.

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Hyperinflation is not a function of money. Money serves as a medium of exchange, as a store of value, and as a unit of account.

Money is a good that is widely used as a medium of exchange for goods and services. Money is the means by which costs and values are expressed; as a unit of account, it refers to any thing or verifiable record that is typically accepted as payment for goods and services as well as the repayment of debts, such as taxes, in a specific nation or socioeconomic setting.

In British English, a structure or section of a structure where goods are sold is typically referred to as a shop. Are there any stores in this area? In American English, this type of structure is typically referred to as a store, with the term "shop" only applied to very small stores that sell a single category of goods. Mom visited the store.

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changes in taxes are generally preferred to government spending selected answer will be automatically saved. for keyboard navigation, press up/down arrow keys to select an answer. a when the debt is a concern. b because a decrease in taxes helps everyone. c because a tax decrease is easier to pass congress. d all of the above.

Answers

Changes in taxes are generally preferred to government spending 'when the debt is a concern'. Hence option A 'when the debt is a concern' is the correct answer.

Government spending is referred to the amount of money spent by the national governments on the provision of services and acquisition of goods such as healthcare, social protection, education, infrastructure, and defense. Government spending is particularly vital for fiscal policy and goes hand-in-hand with taxation.

Government spending is financed primarily by two means: tax collections and borrowing money. As far as when a debt is a concern of the government, changes in tax rates are usually preferred to government spending.

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Which economic measure is the percentage of people in the labor force who are willing to work, are looking for work, but are unable to find work?.

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The labor force is the percentage of people in the labor force who are willing to work, are looking for work, but are unable to find work.

The labor force is made up of both employed people and unemployed people, and the unemployment rate is calculated by dividing the number of jobless people by the total labor force. If a person works for compensation or runs their own business for at least an hour any day of the week, including the twelfth of the month, they are regarded to be employed.

The percentage of the population that is of working age and either employed or actively seeking employment is known as the labor force participation rate. This rate is a crucial indicator of the state of the labor market since it shows the proportion of labor resources that are readily available for the creation of goods and services.

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edward is a partner in ens, ltd. the partnership generated a loss during the current year. edward's share of the loss was $7,000. how should edward handle the loss

Answers

Edward handle the loss of $7,000 for AGI.

How do find AGI?The total amount of revenue and earnings earned throughout the tax year, less certain adjustments to income, is known as adjusted gross income (AGI). Your AGI is shown on Line 11 of Forms 1040, 1040-SR, and 1040NR for tax year 2022. On older forms, it can be found on various lines.Gross income less adjustments to income is known as adjusted gross income (AGI). Your salary, dividends, capital gains, company revenue, retirement payouts, and other sources of income are all included in your gross income.It is used to determine taxable income, which is determined by subtracting itemized deductions and personal exemptions from AGI.

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flyer expects that 5% of accounts receivable is estimated to be uncollectible. what is the balance in the allowance for doubtful accounts after bad debt expense is recorded? group of answer choices $4,300.

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$5,500 is the balance in the allowance for doubtful accounts after bad debt expense is recorded.

What are bad debts ?

Bad debt, sometimes regarded as uncollectible accounts expense, is a sum of money owed to a creditor that is likely to go unpaid and for which the creditor is unwilling to take action to collect for a variety of reasons, frequently because the debtor lacks the funds to do so, for instance because a company is going bankrupt or into liquidation. Depending on accounting practices, legal considerations, and the institution's provisioning, there are many technical definitions of what a bad debt is. Bank debts in the USA that are more than 90 days past due are referred to as "problem loans."

Accounting sources indicate that as soon as a bad debt is anticipated, the entire amount should be written off to the profit and loss account or a provision for bad debts.

To solve the question :

Given,

Acc. Receivable: $110,000

Allowance for doubtful accounts = 5% of accounts receivable

The allowance for doubtful accounts balance equals 5% of accounts of accounts receivable

= 5% × $110,000.

= $5,500

Hence, $5,500 is the balance in the allowance for doubtful accounts after bad debt expense is recorded

The complete question is mentioned below :

Flyer Company:

- Cash Sales: $150,000

- Credit Sales: $450,000

- Selling and Administrative Exp: $110,000

- Sales returns and allowances: $30,000

- Gross Profit: $490,000

- Acc. Receivable: $110,000

- Sales Discount: $14,000

- Allowance for doubtful accounts: $1,200

Flyer estimates bad debt expense assuming that 5% of accounts receivable is estimated to be uncollectible. What is the balance in the allowance for doubtful accounts after bad debt expense is recorded?

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asset w has an expected return of 8.8 percent and a beta of .90. if the risk-free rate is 2.6 percent, complete the following table for portfolios of asset w and a risk-free asset. what is the slope of the line that results?

Answers

An investment that is thought to have a perfectly known return is referred to as a risk-free asset. Riskless investments frequently play crucial roles in the financial system.

What is Risk-free Asset ?

An investment that is thought to have a perfectly known return is referred to as a risk-free asset. Riskless investments frequently play crucial roles in the financial system. For instance, lenders seeking premium collateral may be willing to accept risk-free assets like Treasury notes. For instance, lenders seeking premium collateral may be willing to accept risk-free assets like Treasury notes.

Different investors may have different definitions of a risk-free asset. As mentioned, Treasury bonds serve as risk-free investments. However, some investors might view short-term Treasury securities as being risk-free, such as a one-month Treasury bill, while others might view five- or 10-year Treasury bonds as being risk-free as well.

No matter how risky the asset is, a risk-free asset has a fixed future return. Investors have some amount of security over the return from this form of asset because it frequently offers a specific return.

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valuing preferred stock fegley , inc., has an issue of preferred stock outstanding that pays a $3.80 dividend every year in perpetu this issue currently sells for $93 per share, what is the required return ?

Answers

A company pays the dividend to eligible common stockholders out of the profit it makes from regular business operations. A company can also distribute additional dividends on common stock.

What Is a Profit?

The distribution of a company's earnings to shareholders is known as a dividend and is decided by the board of directors. The distribution of dividends, which can take the form of cash or reinvestment in additional stock, typically occurs quarterly.

What is an example of a dividend?

A dividend is money distributed to shareholders from profits. Typically, they are paid quarterly. For instance, AT&T has been making such distributions for a number of years, with its $2.08 per share offering for the third quarter of 2021.

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a 4,000.00 principal earns 5% intrest, compound annually. after 4 years, what is the balance in the account jiska

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If a principal of 4,000.00 earns 5% interest, compound yearly, the account balance would be 4862.03. 4 years after.

The interest rate is 5% per year. The relative value of interest will be 1.05 after 4 years.

Multiplying that by the initial funding yields the result 4000 * 1.05 * 4 = 4862.03

The fee paid for the right to borrow money is called interest. In contrast interest to how the interest rate used to calculate interest is typically expressed, which is as an annual percentage rate, interest expense or account balance revenue is frequently expressed as a dollar amount. Interest is the payment a lender or financial organization makes in exchange for interest extending credit. A stockholder's ownership stake in a corporation, which is typically expressed as a percentage, is another account balance definition of interest.

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what is the primary business advantage of using email? group of answer choices increasing the speed of order entry. increasing the number of computers required in an office. providing the ability to inform and communicate with many people simultaneously, immediately, and with ease. providing the ability to have friends all over the globe.

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Providing the ability to inform and communicate with many people simultaneously, immediately, and with ease is the primary business advantage of using email.

What is the primary benefit of emailing?

One of the key benefits of email is that you can send electronic things, like text documents, pictures, and data sheets, quickly and conveniently to several people at once by attaching the file to an email. Ascertain whether there is a size restriction on the email attachments you can send by contacting your internet service provider.

One of the key benefits of email is that you can send electronic things, like text documents, pictures, and data sheets, quickly and conveniently to several people at once by attaching the file to an email. Ascertain whether there is a size restriction on the email attachments you can send by contacting your internet service provider.

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what management technique should colorful ice snowballs use to solidify their product mix and meet consumer's demands? (2 points)

Answers

Colorful ice snowballs should employ expansion as a management strategy to stabilize their product mix and satisfy consumer demand.

What is a plan for product expansion?

The definition of product expansion states that it is a method used by firms to expand their operations. After gaining the interest of the target market, the company then tries to reach out to other markets.

What does a product mix expansion entail?

Expansion of product mix: When a company adds more product lines, it is said to be expanding its product mix. Although they are not tied to the current items, these new lines are frequently related to the company's current product line.

Why is expanding the marketing mix important?

The expanded marketing mix aids businesses in developing a comprehensive structure for their marketing strategy. A functional, comprehensive marketing plan is one step closer when each component of the mix is identified.

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joe smith wishes to have $100,000 in five years. if he can earn annual interest of 3%, how much must he invest today?

Answers

Joe smith should invest $86000 today to get a future value of $100000

In the world of finance, present and future values refer to the future and current net worth of the money that we currently possess. Generally speaking, both the time worth of money and its monetary idea, which is used daily by business owners or investors, are the origins of the present value vs. future value concept. The basic tenet is that money received today is worth more than money received tomorrow or at any other time in the future.

Calculating the amount Joe Smith wishes to have in 5 years:

Present value = Future value*Present value of $1 for a period of 5 years at 3%

= $100,000*0.86

= $86000

The present value of the factor for 5 periods at 3% interest is 0.86

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shareholder resolutions group of answer choices may be brought to a proxy vote by any stakeholder. can only be developed by large, institutional investors. are regulated by the federal trade commission. may prompt a company to change its practices. are the least effective type of shareholder activism.

Answers

Shareholder resolutions can only be developed by large, institutional investors.

What is Shareholder resolutions?Shareholder resolutions are proposals submitted by shareholders for voting at the company's annual meeting. Shareholder Resolutions are usually rejected by  management, so stick to your votes. “Voting rights have long been recognized as one of the primary rights of shareholders.” For publicly traded companies in the United States, the submission and processing of resolutions is regulated by the Securities and Exchange Commission. 4,444 4,444 shareholders have submitted resolutions primarily dealing  with corporate governance issues such as executive compensation, or corporate social responsibility issues such as global warming, industrial relations,  smoking, human rights and animal welfare. Almost all shareholder resolutions are non-binding. In this sense, voting on these resolutions is more like a referendum than  a referendum or referendum. Nonetheless, media coverage of voting on shareholder resolutions tends to focus on whether the proposal received a majority of the votes, which happens in a very small but increasing number of cases. SEC rules allow rejected resolutions to  be resubmitted only if  certain voting hurdles are passed.

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the pattern of protection in industrial countries is particularly harmful to the interests of a) low-income developing countries. b) high-income industrial countries. c) asian nations. d) european nations.

Answers

The pattern of protection in industrial nations is especially detrimental to the interests of developing nations with low incomes. Hence, the correct answer choice for this question will be option (a).

Write a brief account on developing countries.

A sovereign state that is considered to be developing has a less developed industrial base and a lower Human Development Index (HDI) than other nations.  This term is not generally accepted, though. Although the phrase "low and middle-income country" (LMIC) is sometimes used synonymously, it only relates to the economies of the nations. Subgroups of developing countries include small island developing states, landlocked developing states, and least developed countries. The term "high-income countries" or "developed countries" is typically used to describe those at the other end of the range.

Due to their histories or geographical locations, developing nations frequently share some traits. For instance, in terms of colonialism and health risks, higher levels of pollution, they frequently have: lower access to clean water, sanitation, and hygiene; a higher proportion of people with tropical and infectious diseases (neglected tropical diseases); a higher number of road traffic accidents; and generally lower quality infrastructure

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issuing an installment note in exchange for cash (select all that apply): multiple select question. does not affect equity decreases assets does not affect liabilities increases liabilities decreases equity decreases liabilities increases assets does not affect assets increases equity need help? review these concept

Answers

Option d.) increases assets does not affect equity increases liabilities is the correct answer as, this is because the debt will also increase. Because assets need to be balanced against liabilities and equity, it is useful for issuing installment certificates against cash.

Borrowing money from a bank increases a company's cash position, thereby increasing its balance sheet. In addition, the liability account, bills payable, increases as the company borrows money from the bank. When a company borrows money from a bank, the amount received is recorded as a cash debit and credited to liability accounts such as bills payable and loans payable recorded on the company's balance sheet.

All's assets are everything owned by the company. Liabilities and equity are what your company owes to third parties and owners. The golden rule of accounting to balance the books is that assets equal liabilities and equity.

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would you consider setting new goals about the number of online positive reviews attributed to your customer service?

Answers

Examples of customer service goals include: improving how you measure customer service, speeding up response times, making it easy for customers to get in touch, and creating a customer-centric culture.

In sales, trade, and economics, a purchaser (every now and then known as a client, consumer, or patron) is the recipient of a great, carrier, product or idea - acquired from a vendor, seller, or dealer via an economic transaction or alternate for money or a few different valuable attention. Early societies relied on a present economic system based totally on favors. Later, as commerce evolved, much less permanent human family members had been fashioned, relying extra on transitory wishes instead of enduring social goals on. Clients are normally stated to be the clients of goods and services, whilst customers are folks that get hold of customized recommendations and answers.

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the financial statements of the sheffield corp. reported net sales of 300000 and accounts receivable of 56400 and 33600 at the beginning of the year and the end of the year, respectively. what is the average collection period for accounts receivable in days? (use 365 in days for calculation) 54.8

Answers

The average calculation period for accounts receivable will be 54.8 days.

In the question, it is given that the Sheffield corp. reports a net sales of $300,000 with accounts receivable of $56,400 at the beginning of the year and $33,600 at the end. We have to calculate the accounts receivable turnover ratio.

To find that we have the formula:

Ratio = (Net sales)/(Average accounts receivable)

First, we will find the average accounts receivable.

=> (Beginning + End)/2

=> (56400 + 33600)/2

=> Average = 45,000

Now we will find the Ratio:

=> Ratio = 300000/45000

=> Ratio = 6.66

To convert that into days, we will divide 365 by the ratio.

=> Receivable turnover ratio in days = 365/6.66

=> R = 54.8

Hence, we get the Account receivable ratio in days as 54.8.

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