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viktelen [127]
3 years ago
7

If Abrams Company has an inventory turnover of 7.3 and a receivables turnover of 9.6, approximately how long is its operating cy

cle?
Business
1 answer:
Leviafan [203]3 years ago
6 0

Answer:

It is 16.9

Explanation:

Operating cycle = Inventory turnover + Receivable turn over - payable turnover

Hence, Operating cycle = 7.3+9.6

=16.9

Operating cycle implies how long it takes us to convert entire production process to cash .

It has an direct relationship with the level of working capital required. The higher the operating cycle, the higher the working capital investment required to keep the operation running.

A cash driven businesses like restaurant which hardly sell on credit will certainly have shorter operating cycle compared to a manufacturing company.

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P&T Inc.
iVinArrow [24]

Answer:

A short-term inducement of value offered to arouse interest in buying a product or service

Explanation:

Sales promotion can be defined as a process of trying to get a potential customer to buy the product by persuading them. Sales promotion a short-term tactic used for the purpose of boosting sales. As a method of building long-term customer loyalty, it is barely suitable. Sales promotions are aimed at getting consumers interested in purchasing a product or service.

3 0
3 years ago
On July 31, year 2, Tern Co. amended its single employee defined benefit pension plan by granting increased benefits for service
san4es73 [151]

Answer:

Options Include:

1. Years before Year 1 only.

2. Year 1 only.

3. Year 1 and years before and following Year 1.

<em>4. Year 1 and following years only. is Correct</em>

Explanation:

Prior cost of service is acknowledged whenever a contract is changed to provide added benefits for services previously received by workers.

The amortization of the prior service expense must be acknowledged as an element of the retirement cost during the future service periods of all those workers whom are active on the date of the plan modification and are entitled to receive rewards under the Scheme.

<em>Therefore, prior service costs are expressed throughout the financial statements for Year 1 once the plan was modified and even in the years that follow when it is amortized.</em>

4 0
3 years ago
Transactions for Petty Cash, Cash Short and Over Cedar Springs Company completed the following selected transactions during June
alisha [4.7K]

Answer:

See explanation section.

Explanation:

June 1      Petty Cash                                              $450

                Cash                                                                                 $450

To record opening of petty cash.

        12    Cash                                                       $11,381

                   Cash short and Over                                                    $14

                    Sales                                                                             $11,367

To record the sales and finding the cash short and over.

        30    Store Supplies                                       $50

                  Merchandise Inventory                       $108

                  Office Supplies                                     $106

                  Miscellaneous Administrative Expense  $146

                  Cash Short and Over                               $6

                        Cash                                                                             $416

To record the expenses cash short and over.

        30     Cash                                                       $21,860

                   Cash Short and Over                           $19

                         Sales                                                $21,879

To record the sales and finding the cash short and over.

        30     Petty Cash                                             $113

                        Cash                                                 $113

To record the increase of petty cash.

6 0
3 years ago
A__________is a network of facilities and processes that describes the flow of materials, finished goods, services, information,
Viktor [21]

Answer:

value chain

Explanation:

A value chain can be described as a series of functional activities carried out by a company with the aim of delivering a valuable good to the market or adding value to customers.

Under value chain, value is added not only to the product of the company but also to how the product is produced, marketed, and the process of providing after-sales service to customers.

Therefore, a <u>value chain</u> is a network of facilities and processes that describes the flow of materials, finished goods, services, information, and financial transactions from suppliers, through the facilities and processes that create goods and services, and those that deliver them to the customer.

5 0
3 years ago
Read 2 more answers
The NFL Trust is responsible for which of the following activities? A. Ownership of all team logos and trademarks. B. Oversight
lana [24]

Answer:

The correct answer is the option D: All of these are correct.

Explanation:

On the one hand, a "trust" is known in the economics and business field as the partnership between two or more companies that produce in the same industry and therefore that the main objective of this new agreement among the partners is to increase the market area or to take more advantage by working together, increasing both parties revenues.

On the other hand, the NFL trust is known to dominate the market of the football league in all its aspects, including all the teams logos and trademarks as well as the organization of the league's properties rights and the distribution of revenue for those concepts.

4 0
3 years ago
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