BYP8-2 the financial statements of The Hershey Company are presented in Appendix B, following the financial statements for Tootsie Roll in Appendix A
- a) Based on the information contained in these financial statements, compute the following 2011 values for each company.
1) Accounts receivable turnover. (for Tootsie Roll, use “Net product sales.” Assume all sales were credit sales.)
2) Average collection period for accounts receivable.
- b) What conclusions concerning the management of accounts receivable can be drawn from these data