Accounts receivable is $54,000 and average daily sales are $1,800. What is days sales outstanding?
Correct Answer
B) 30 days.
Days sales outstanding is receivables divided by average daily sales: $54,000 / $1,800 = 30 days.
Why This Is the Correct Answer
Days sales outstanding is receivables divided by average daily sales: $54,000 / $1,800 = 30 days.
More ca-law-business Questions
A Fresno homeowner wants a $725 cabinet repair and trim adjustment. Which contract step best matches CA home improvement requirements?
A project has $6,500 retainage withheld. The owner releases 60 percent of retainage at substantial completion. How much cash is released?
Cash is $52,500 and monthly burn is $17,500. How many months of runway are available?
A supplier offers 1.5 percent early-pay discount on a $22,000 invoice. What is the discount?
A balance sheet lists assets of $310,000 and liabilities of $185,000. What is owner's equity?
A job is estimated to cost $135,000. What price gives a 25 percent gross margin?
A customer invoice of $4,000 has a stated late charge of 1.5 percent. What late charge is added?
A bid has direct labor of $18,000, materials of $12,500, and equipment rental of $3,500. If the contractor adds 20 percent markup on direct cost, what is the bid price?
A contractor wants a 25 percent gross margin on a job with estimated cost of $60,000. What selling price gives that margin?
A completed project sold for $150,000 and had total cost of $126,000. What gross margin percentage did the project earn?
People Also Study
Business & Financial Management
120 questions · 70% to pass
Contract Administration
60 questions · 70% to pass
Project Management
60 questions · 70% to pass
Related Study Resources
Previous Question
A job used 72 equipment hours at an internal allocation rate of $18 per hour. What equipment cost should be charged to the job?
Next Question
A supervisor is assigned to a crew but has not been familiarized with hazards under that supervisor's control. What IIPP requirement is implicated?