Answer:
a.Operating Cycle = Inventory Conversion period + Days Sales Outstanding = 100 + 35 = 135 Days
Cash Conversion Cycle = Inventory Conversion period + Days Sales Outstanding - Days Payables Outstanding
= 100 + 35 - 11 = 124 Days
b.If Carraway were to decide to take full advantage of its credit terms and delay payment until the last possible date , their cash conversion cycle is 100 + 35 - 51 = 84 Days
c.Carraway should take its suppliers offer to finance its inventory with the interest free 35 Day loan
Answer:
<em>HELLO</em><em> </em><em>CAN</em><em> </em><em>U</em><em> </em><em>TELL</em><em> </em><em>ME</em><em> </em><em>HOW</em><em> </em><em>TO</em><em> </em><em>SEE</em><em> </em><em>LEADERBOARD</em><em> </em><em>HERE</em><em> </em>
<em>I</em><em>N</em><em> </em><em>AUSTRALIA</em><em> </em><em> </em>
<em>I</em><em> </em><em>AM</em><em> </em><em>FROM</em><em> </em><em>INDIA</em><em> </em><em>AND</em><em> </em><em>I</em><em> </em><em>M</em><em> </em><em>HERE</em><em> </em><em>TO</em><em> </em><em>EXPLORE</em><em> </em><em>THE</em><em> </em><em>ASTUTRALIAN</em><em> </em><em>BRAINLY</em><em> </em>
<em>PLEASE</em><em> </em><em>HELP</em>
Answer: $455,000
Explanation:
As the question states what will be the pledges receivable for 20x8 therefore, we will calculate all the pledges:
$35,000 + $20,000 + $400,000 = $455,000
Hence, the answer is $455,000 as we take into account all the pledges for the year 20x8.
