If the working-age population ________ and the labor force does not change, the _______

AAA's inventory turnover ratio is 20.00 based on sales of $28,400,000. The firm's current ratio equals 4.16 with current liabili

marissa [1.9K]

Answer:

= 17.15 days (approx)

Explanation:

Given:

inventory turnover ratio = 20

Current ratio = 4.16

Current liabilities = $820,000.

Cash and Marketable securities = $657,096

Net sales = $28,400,000

Per day sale = ?

Calculation:

Current ratio = Current assets / current Liabilities

4.16 = Current assets / $820,000

4.16 x $820,000 = Current assets

$3,411,200 = Current assets

Inventory turnover ratio = Net sales / Average Inventory

20 = $28,400,000 / Inventory

$28,400,000 / 20 = Inventory

$1,420,000 = Inventory

Average Receivable = current assets - Cash and Marketable securities -Inventories

= $3,411,200 - $657,096 - $1,420,000

Average Receivable = $1,334,104

Outstanding daily sales = (Average receivables / Net sales )Number of days in a year

= $1,334,104 / $28,400,000)365

= 17.15 days (approx)

4 0

3 years ago

Which of the following descriptions are not correct for a push system? (1). There is no clear visibility between processes (2).

ohaa [14]

Answer:

The correct answer is (2)The workers on shop floor lack the autonomy to stop the manufacturing on their own initiative.

Explanation:

The company operates on a push system, where products are made and inventory built up based on best-guess forecasts.

The push system of inventory control involves forecasting inventory needs to meet customer demand. Companies must predict which products customers will purchase along with determining what quantity of goods will be purchased.

So, from the given options, the correct answer is (2)The workers on shop floor lack the autonomy to stop the manufacturing on their own initiative

8 0

3 years ago

Compute interest and find the maturity date for the following notes. (Round answers to 0 decimal places, e.g. 825) Date of Note

nalin [4]

Answer: Interest Maturity Date

(a) 78110×7%×(60/360) = $911 August 9

(b) 46200×8%×(90/360)= $924 October 12

(c) 11700×9%×(75/360) = $219 July 11

Explanation:

To compute the interest we apply the following formula:

Interest= (Principal) × (Interest Rate) ×(Terms ÷360)

For the Maturity date, we add Terms to the Date of note .

By using the above formula for the given table, we get the following values

Interest Maturity Date

(a) 78110×7%×(60/360) = $911 August 9

(b) 46200×8%×(90/360)= $924 October 12

(c) 11700×9%×(75/360) = $219 July 11

3 0

4 years ago

What is the main motive behind dealer incentives?

Aliun [14]

<span>The main motive behind dealer incentives is to give the dealers a low price for stocking the companies products. The company that gives the biggest dealer incentive will attract more dealers to actively sell the product of that company. It can be seen in case of cars, the incentives given by the manufacturers to their dealers for stocking the cars. Hope this helps :)</span>

6 0

4 years ago

On April 12, Hong Company agrees to accept a 60-day, 10%, $9,000 note from Indigo Company to extend the due date on an overdue a

emmainna [20.7K]

Answer:

The journal entry to be recorded for the payment of the note on date of maturity is shown below:

Explanation:

The journal entry to be recorded for the payment of the note on date of maturity is as follows:

Notes Payable A/c..........................Dr $9,000

Interest expense A/c......................Dr $148

Cash A/c..........................................Cr $9,148

Being payment of the note payable is reported on the maturity date

As on the day of the payment, the cash is going out of the business which means assets is decreasing and any decrease in assets is credited. Therefore, the cash account is credited. And the notes payable is paid so the notes payable account is debited and interest expense account will also be debited.

Working Note:

Interest expense = $9,000 × 10% × 60/ 365

Interest expense = $148

3 0

3 years ago

If the working-age population ________ and the labor force does not change, the ________.

If the working-age population and the labor force does not change, the .