John Byers owns and operates Byers Building Supplies. The
Question and Solution
John Byers owns and operates Byers Building Supplies. The following information was taken from his financial statements: Balance Sheet 12/31/-2 12/31/-1 Accounts Receivable $700 $500 Inventory 300 100 Income Statement Net Credit Sales $7,200 Cost of Goods Sold 5,000 All sales are made on account. REQUIRED Based on the above information, on average, approximately how many days pass from the time Byers purchases inventory until he receives cash from customers?