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Please help with the following problem. Please provide step by step calculations.

Sinatra Company reported $540,000 in sales on account last year. The company's accounts receivable balance increased from $30,000 at the beginning of the year to $54,000 at the end of the year. What was the company's average collection period (age of receivables)? How may this information be used by managers, investors, or creditors?

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The following posting helps with an accounting problem. This solution helps with an accounts receiving balance problem. It helps calculate the company's average collection period (age of receivables). It also discusses how this information might be used by managers, investors or creditors. Step by step calculations and explanations are given.

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Sinatra Company reported $540,000 in sales on account last year. The company's accounts receivable balance increased from $30,000 at the beginning of the year to $54,000 at the end of the year. What was the company's average collection period (age of receivables)?
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