chapter 7 exercise 1 - Question The financial statements included in the 2011 Form The financial statements included in the 2011 Form 10-k of Columbia

chapter 7 exercise 1 - Question The financial statements...

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Question: The financial statements included in the 2011 Form...The financial statements included in the 2011 Form 10-k of Columbia Sportswear reported the following amounts (in thousands of dollars):Net sales, for the year ended December 31, 2011 $1,693,985Accounts receivable, net, December 31, 2011 $351, 538Accounts receivable, net December 31, 2010 $300,1811.Compute Columbia Sportwear’s accounts receivable turnover ratio for the year ended December 31, 2011. (Assume that all sales are on credit.)2.What is the average collection period in days for an account receivable? Explain your answer.3.Give some examples of the types of customers you would expect Columbia Sportswear to have. Do you think the average collection period for sales to these customers is reasonable? What other information do you need to fully answer that question? Comments Expert Answer

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