Modern Clothing Store reported the following selected items at June 30, 2019 (previous year - 2018 - amounts are also given as needed):
Compute Modern's accounts receivable turnover ratio for the year ending June 30, 2019. Show your computations. (Round the answer to 2 decimal places.)
Accounts receivable turnover ratio:
Net credit sales / Average net accounts receivable
$480,000 / [($45,000 + $53,000)/ 2]
$480,000 / $49,000 = 9.80 times
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