Answer:
Option (D) is correct.
Explanation:
Inventory conversion period:
= (365 days × Inventory) ÷ Cost of goods sold
= (365 days × 4,500) ÷ 30,000
= 54.75
Average collection period:
= (365 days × Accounts receivable) ÷ sales
= (365 days × $1,800) ÷ 45,000
= 14.60
Payable deferral period:
= (365 days × Accounts payable) ÷ COGS
= (365 days × $2,500) ÷ 30,000
= 30.42
cash conversion cycle:
= Inventory conversion period + Average collection period - Payable deferral period
= 54.75 + 14.60 - 30.42
= 38.93 or 39 days
Answer:
(a) Common shares outstanding after stock split:
= 1,000,000
(b) New par value per share = 0.01 × 20
= 0.2
(c) Since, there will be no change in the paid up capital after the reverse stock split. So, there is no need to record journal entry, as it will be accounted as the memorandum.
In the elastic portion of the demand curve.
Answer:
option (C) 8.8
Explanation:
Data provided in the question:
Common stock outstanding = 267.9 million shares
Market price = $68 per share
Value of common stock equity reported = $2.067 billion
Now,
Market value = Market price × Number of Common stock outstanding
= $68 × 267.9 million
= $18,217.2 million
= $18,217,200,000
Book value = $2.067 billion = $2,067,000,000
therefore,
NetApp's market/book ratio = $18,217,200,000 ÷ $2,067,000,000
= 8.81 ≈ 8.8
Hence,
Answer is option (C) 8.8
