1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Elodia [21]
3 years ago
7

Faldo Corp sells on terms that allow customers 45 days to pay for merchandise. Its sales last year were $435,000, and its year-e

nd receivables were $60,000. If its DSO is less than the 45-day credit period, then customers are paying on time. Otherwise, they are paying late. By how much are customers paying early or late? Base your answer on this equation: DSO - Credit Period = Days early or late, and use a 365-day year when calculating the DSO. A positive answer indicates late payments, while a negative answer indicates early payments.
Business
1 answer:
Misha Larkins [42]3 years ago
4 0

Answer:

DSO is 50.34 days and late payment by 5.34 days

Explanation:

In this question, we use the day's sales outstanding formula which is shown below:

Days sales outstanding = (Accounts receivable ÷ Net credit Sales) × total number of days in a year

= ($60,000 ÷ $435,000) × 365 days

= 0.1379 × 365 days

= 50.34 days

Now, the customer paying early or late equals to

= DSO - Credit period

= 50.34 days - 45 days

= 5.34 days

The amount indicates a positive answer which reflects the late payment

You might be interested in
The normal rate of return on equity capital is also known as
exis [7]
The normal rate of return on equity capital is also known as the opportunity cost of capital
8 0
3 years ago
A layer of security that credit card companies are starting to do?
Sindrei [870]

Answer:

2fa (2 factor authorization)

8 0
3 years ago
Assume that a consumer has a given budget or income of $24 and that she can buy only two goods, apples or bananas. The price of
Sindrei [870]

Answer:

12 bananas or 8 apples are needed to purchased

Explanation:

The computation of the number of bananas or the apples is shown below:

Since the income is $24

And, the price of an apple and the price of banana is $3 and $2 respectively

So, the number of bananas is

= $24 ÷ $2

= 12 bananas

And, the number of apples is

= $24 ÷ 3

= 8 apples

Therefore 12 bananas or 8 apples are need to purchased

7 0
3 years ago
The following statements accurately describe the difference between saving and investing EXCEPT…
vagabundo [1.1K]

Answer:

Saving can only be done in person. Investing can be done both in-person and online.

Explanation:

Saving refers to keeping some funds aside for use during emergencies. Individuals and institutions also save as a way of accumulating funds for a specific intention. Banks and other deposit-taking institutions offer saving services to pool funds and lend them for investment and consumption.

Saving will attract lower interest rates, sometimes below the inflation rate. Banks offer lower rates on saving and charges a higher interest rate to borrowers to make profits. Because saving offer lower returns, they are suitable for short-term periods. Savings are relatively safer than investment.

Investments offer higher returns but have a higher risk. Due to their price volatility, investments are suited for the long-term to safeguard against price fluctuations.

8 0
3 years ago
When you encounter an organization where employees are quite intense, focused, and determined to win, you have encountered an or
vlada-n [284]

Answer: When you encounter an organization where employees are quite intense, focused, and determined to win, you have encountered an organization with a(n) <u>Mercenary</u> culture.

<u>Explanation:</u>

Mercenary is one who always works for money not for achieving any organizational goal. Mercenary culture is one in which employees have the same thinking. Employees are not friends with each other. It is the culture in which everyone thinks of his benefit. People are more determined to win even if they have to sacrifice their ethics.

So this type of culture is not very successful in the long run. Because everybody works for his or her advantage. For an organization to be successful everyone has to work together keeping in mind the benefit of other employees also.

5 0
3 years ago
Other questions:
  • When comparing two distributions, it would be best to use relative frequency histograms rather then frequency histograms when?
    11·1 answer
  • To fund operations so far bill has taken out a second mortgage on his personal residence for $70,000 and deposited the full amou
    13·1 answer
  • Which of the following statements is FALSE?A) As the enterprise value represents the entire value of a firm before the firm pays
    15·1 answer
  • Net exports equal GDP minus domestic spending on:
    12·1 answer
  • The Question is in the photo ^ is it True or False?
    15·2 answers
  • Comet Company accumulated the following account information for the year:
    11·1 answer
  • Production costs chargeable to the Finishing Department in May at Kim Company are materials $7,700, labor $19,700, overhead $18,
    5·1 answer
  • General partners must obtain approval from a majority of the limited partners in order to manage the business. True or False
    5·1 answer
  • What is the name of the document that companies use to report quarterly financial results?.
    7·1 answer
  • in the theory of percect competition the assumption of easy entry into and exit from the market implies
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!