What do you understand by the term problem? Discuss plz answer it fast!

Chik’s Chickens has accounts receivable of $6,333. Sales for the year were $9,800. What is its average collection period?

MAXImum [283]

Answer:

The answer is 235 days

Explanation:

Average collection period can also be called Days' outstanding period. And it is the number of days it takes a business to collect its money or receivables from the goods or services sold on credit.

Days' reveivables period or Average collection period = 365 days / reveivables turnover.

Receivables turnover = Sales/ average receivable

$9,800/$6,333

= 1.55

Average collection period=

365 days/1.55

=235 days

6 0

2 years ago

The Sun Company manufactures a special line of graphic tubing items. The company estimates it will sell 75,000 units of this ite

Mashutka [201]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

The company estimates it will sell 75,000 units of this item in 2008. The beginning finished goods inventory contains 20,000 units. The target for each year's ending inventory is 10,000 units.

1) To calculate the budgeted units of production, we need to sum the sales of the period to the desired ending inventory and subtract the beginning inventory.

Production budget= 75,000 + 10,000 - 20,000= 65,000 units

2)

Each unit requires five feet of plastic tubing. The tubing inventory currently includes 70,000 feet of the required tubing. Materials on hand are targeted to equal three month's production.

First, we need to calculate the ending inventory at years end:

ending inventory= (75,000/12)*3= 18,750 units

Purchases= production for the period + ending inventory - beginning inventory

Purchases= 65,000*5 + 18,750*5 - 70,000= 348,750 feet

7 0

3 years ago

(a) On July 1, Blue Spruce Co. sold merchandise on account to Waegelein Inc. for $17,300, terms 2/10, n/30. (b) On July 8, Waege

GarryVolchara [31]

Answer and Explanation:

The journal entries are shown below:

On July 1

Account receivable A/c Dr $17,300

To Sales $17,300

(Being the goods are sold on credit)

On July 8

Sales return and allowance A/c Dr $4,000

To Accounts receivable $4,000

(Being sales return is recorded)

On July 11

Cash ($17,300 - $4,000) × 98% $13,034

Sales discount ($17,300 - $4,000) × 2% $266

To Account receivable ($17,300 - $4,000) $13,300

(Being the cash received is recorded)

Only these three entries are recorded

5 0

3 years ago

A revenue management (RM) system for an airline seeks to minimize each customer's ticket price of travel on the airline's flight

nikdorinn [45]

Answer: False

Explanation:

The given statement is false that the revenue management method are used for the purpose of reducing the airline tickets of the customers as the RM system is majorly designed for the purpose of allocating the seats in the flight on the basis of their fares.

The main objective of the revenue management is to maximum the profit by optimizing the inventory according to the customer requirement.

According to the given question, the RM system is not used for minimize the customer's Arline tickets so the given statement is false.

7 0

3 years ago

A hurricane in Florida destroys half of the orange crop. Illustrate the effect this has on the market for oranges. Demand Supply

myrzilka [38]

Answer:

As a result of half the orange crop being destroyed, there will be a shortage in the supply of oranges. This will shift the supply curve for oranges to the left as shown in the graphic.

Notice that the equilibrium price becomes higher. As a result of this, the Consumer surplus will decrease because they are now paying more than they would like to pay.

The situation will largely be the same in the market for orange juice because orange is the main component for orange juice. Orange juice supply will decrease and the supply curve will shift left.

Prices will rise and Consumer surplus will decrease.

Note: Second graph x-axis is Quantity of orange juice.

8 0

3 years ago

What do you understand by the term problem? Discussplz answer it fast!