Candle Shop, Inc. has net sales on account of $1,800,000. The average net accounts receivable are $680,000. Calculate the days' sales in receivables. (Use 365 days for any calculations. Round any intermediate calculations and your final answer to two decimal places.)

137.89 days

Explanation:

Days' sales receivables = (Accounts Receivables / Net Credit Sales) * 365

Accounts Receivables = $ 680,000

Net Credit Sales = $ 1,800,000

Days' sales receivables = $680,000 / $ 1,800,000 * 360 days

=137.88888

= 137.89 days

The days' sales in receivables is 137.89 days