Accounts receivable

Use the following information to solve the Questions 1, 2, and 3 below: Sellograph Corporation reports sales of $10 million for Year 2, with a gross profit margin of 40%. 20% of Sellograph’s sales are on credit. —Year 1— Accounts receivable: $ 150,000 Inventory: $ 900,000 Accounts payable: $ 1,100,000 —Year 2— Accounts receivable: $ 170,000 Inventory: $ 1,000,000 Accounts payable: $ 1,200,000 3. Days in inventory at the end of Year 2 is closest to: A) 60.0 days B) 69.0 days C) 66.0 days D) 54.0 days