Answer:
E) 51 days
Explanation:
Calculation of length of the cash cycle after the changes.
As given:
Current cash cycle = 51 days.
Decreases its receivables period by 3 days
Increases its inventory period by 4 days.
Increases its payables period by 1 day.
Hence,
Cash cycle = 51 days - 3 days + 4 days- 1 day
Cash cycle = 51 day
Therefore the cash cycle after the changes will be 51 days
Answer:
1) B - Inaction
2)B - Faulty
3)A - Dissolution
Explanation:
1) Inaction: The company's strategy is not responsive to technological trends
2) Faulty: Downsizing to save cost is not a good strategy for a business to adopt, they could have divest to other sectors
3)Dissolution: liquidate or wind up before the company runs in to serious financial crisis.
Answer:
This lease is regarded and classified as Capital lease.
Explanation:
This lease is regarded and classified as Capital lease.
Here, Callaway Golf Co. is the body financing the leased asset but the right ownership is with Photon Company.
Now; the present value of future payment is calculated as:
Present value of future payment =[PVA 6%,5 × Annual payment ]+[PVF 6%,5 × Residual value]
=[4.46511 × 31000] +[0.74726 × 15500]
= 138418.27+ 11582.53
= 150000
However the present value of minimum lease payment is equal or more than 90% fair market value ,as such we therefore conclude that this lease is a capital lease.
Answer:
The answer is <em><u>C. 40 km^2</u></em>
<em><u>8km*5km = 40</u></em>
A = L*W
L = 8 km
W = 5 km
Answer:
a) $1,875
b) $ 2,083
Explanation:
a) Notes Payable $150,000
Interest Rate (10%) $15,000
Proceeds from Note $1,875 - 15000/8
b) Notes Payable $150,000
Discount Factor (10%) $166,667
Finance Cost $16,667
Proceeds from Note $2,083.33 - 16667/8
