Question : Read the following information carefully and answer the question
Particulars
Revenue from Operations
8,75,000
Creditors
90,000
Bills Receivable
48,000
Bills Payable
52,000
Purchases
4,20,000
Trade Debtors
59,000
Option 1: 30 days
Option 2: 60 days
Option 3: 45 days
Option 4: 15 days
Correct Answer: 45 days
Solution : Average Collection Period = 365 Days/Trade Receivables Turnover Ratio = 365 Days/8.18 Times (Calculated in Question 4) = 45 Days
Question : Match List-I with List-II.
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