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    Day's Receivables

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    For the last fiscal year, a clinic has patient revenues of $4,235,000 and accounts receivable of $1,225,000. How many days' receivables does this represent?
    Please provide:
    - Your answer in numerical terms
    - Narrative statement that explains how you calculated your answer
    - Original example/scenario that demonstrates your understanding and includes your calculations using a separate set of figures:

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    Solution Preview

    Day's Receivables, also known as Days Sales Outstanding, is an efficiency ratio used to calculate how long it takes a ...

    Solution Summary

    This solution defines the concept of days' receivables and shows how to calculate it for a clinic, given the numbers for patient revenues and accounts receivable.