1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Dominik [7]
3 years ago
7

Ingraham Inc. currently has $320,000 in accounts receivable, and its days sales outstanding (DSO) is 63 days. It wants to reduce

its DSO to 25 days by pressuring more of its customers to pay their bills on time. If this policy is adopted, the company's average sales will fall by 20%. What will be the level of accounts receivable following the change
Business
1 answer:
TEA [102]3 years ago
7 0

Answer:

$44,186

Explanation:

Days sales outstanding can be expressed as the following financial ratio:

DSO ratio = accounts receivable / average sales per day, or.

DSO ratio = accounts receivable / (annual sales / 365 days)

Hence revised receivables / ( revised sales /365 ) will be our preferred formula for this scenario

Revised sales = 80% of current sales which is 0.8 x 320,000 = 256,000

daily sales = 256,000 / 365 = 701.3

revised receivables / 701.3 = 63 days as given in the question.

Revised receivables = 701.3 x 63 = $44,186

You might be interested in
Discuss how a change in a product design could produce a change in the design of a planning and control system.
RUDIKE [14]

Product design is cross-functional, knowledge-intensive work that has become increasingly important in today's fast-paced, globally competitive environment. It is a key strategic activity in many firms because new products contribute significantly to sales revenue. When firms are able to develop distinctive products, they have opportunities to command premium pricing. Product design is a critical factor in organizational success because it sets the characteristics, features, and performance of the service or good that consumers demand. The objective of product design is to create a good or service with excellent functional utility and sales appeal at an acceptable cost and within a reasonable time. The product should be produced using high-quality, low-cost materials and methods. It should be produced on equipment that is or will be available when production begins. The resulting product should be competitive with or better than similar products on the market in terms of quality, appearance, performance, service life, and price.

6 0
3 years ago
On September 30, 2016, Athens Software began developing a software program to shield personal computers from malware and spyware
Cloud [144]

Answer:

Check the explanation

Explanation:

1. Record the journals as shone, below:

Date       Accounts title & explanation             Debit (S)             Credit(S) 2016     Research and development expense    2,200,000                                 `                               Cash                                             2,200,000  

                 (To record the expense incurred

                    on research and development)

2017   Research and development expense    800,000  `             `                            Software and development costs      400.000

                                           Cash                                              1,200,000

                         (To record the sc&ware

                         development costs incanted)

kindly check the answer to the second question in the attached image below

6 0
3 years ago
Identify the marketing research technique implied in the scenario. Tiara is planning to open a small café in her neighborhood. H
AnnyKZ [126]

Answer:

demographic and psychographic segmentation

Explanation:

Tiara's target market is based on age (demographic) and interests (psychographic)

5 0
3 years ago
Amy and Bill are fixing up their house by painting walls and installing electrical outlets. In one hour, Amy can paint 8 walls,
Lelechka [254]

Answer:

1.33 walls

1 wall

Explanation:

Tradeoff is the opportunity cost of taking a particular decision

Opportunity cost of the next best option forgone when one alternative is chosen over other alternatives

My doing he outlet, the opportunity to paint is forgone

Amy = 8/6 = 1.33

Bill = 5/5

3 0
2 years ago
Scarcity can be eliminated if
bogdanovich [222]

Answer:

The scarcity is the key problem that the economics are trying to find an answer to and try to mitigate by making the resources more productive.

The scarcity arises because of 2 main factors,

  1. The human wants are Unlimited
  2. The resources available to satisfy these wants are Limited

In theory, if we need to "eliminate" scarcity complete we should either Limit our Needs or find an Unlimited source of resources we require.

However, these are not practical solutions.

So because of this, economics try to utilize technology and other factors to harness the full potential of resources and to use them optimally.

Explanation:

6 0
3 years ago
Other questions:
  • A P30,000, 10% bond with quarterly coupons is redeemed at 98% at the end of 15 years. Find the redemption value. (Note: Don't us
    13·1 answer
  • ordan Electronics currently produces the shipping containers it uses to deliver the electronics products it sells. The monthly c
    9·1 answer
  • Ramort Company reports the following cost data for its single product. The company regularly sells 20,000 units of its product a
    6·1 answer
  • In a market economy, those who are willing and able to buy what is produced
    12·1 answer
  • The concept of permanent current assets reflects the fact that some components of current assets do not shrink to zero even when
    15·1 answer
  • As environmental uncertainties increase, managers must develop techniques and methods for collecting, sorting through, and inter
    11·1 answer
  • If a buyer defaulted some time ago on a written contract to purchase a seller's real estate, the seller can still sue for damage
    6·1 answer
  • How nike meet the needs of their customers ?​
    7·1 answer
  • 48. Although SellSmart brings together buyers and sellers and helps negotiate exchanges, it does not actually take title to any
    13·1 answer
  • What is the value of studying management even if you plan to pursue a career that requires a professional certification such as
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!