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kirza4 [7]
3 years ago
14

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

Business
1 answer:
MAXImum [283]3 years ago
6 0

Answer:

235.5 days

Explanation:

Chik's chicken has accounts receivables of $6,333

The sales for the year for Chik's chicken is $9,800

The first step is to calculate the receivables turnover

= $9,800/$6,333

= 1.55

Therefore the average collection period for Chik's chicken can be calculated as follows

= 365/1.55

= 235.5 days

Hence the average collection period for Chik's chicken is 235.5 days

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cost variance Tercer reports the following for one of its products. Direct materials standard (4 lbs. @ $2 per lb.) $ 8 per fini
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Answer:

Total direct materials cost variance is $66,000 and it is favorable.

Explanation:

Actual cost = Actual Quantity × Actual Price

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= 300,000  × $2.00

= $600,000

The total direct materials cost variance is computed as:

Total direct materials cost variance = Actual cost with selling price - Actual Cost

= $600,000 - $534,000

= $66,000

It is favorable.

Working Note:

Actual Price per lbs = $534,000 / 300,000

= $1.78

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