Answer:
1. It has worsened
2. Yes (refer details below)
3. Refer details below
Explanation:
1. Performance
The performance of the company over the last three years has worsened as indicated by declining sales and decreasing current ratios impacting profitability and liquidity of the company.
2. Concerns
One of the most important concern for the company is its declining sales. It shows that the products are not competitive. Current ratios indicates liquidity crisis since they are decreasing.
3. Recommendations
The company's turnover ratio is high, which may indicates payments are being received timely, and hence the co. should take advantage of that
Low inventory turnover, on the other hand, indicates weaker sales and declining demand for a company’s products which is corroborated by the declining sales trend, the co. must increase its sales, launch new products, advertise aggressively.
Answer:
$1,005 million
Explanation:
The computation of the free cash flow is shown below:
= EBIT × (1 -Tax Rate) + Depreciation & Amortization - Change in Net operating Working Capital - net capital Expenditure.
= $1,200 million - $180 million - $15 million
= $1,005 million
All other information which is given is not relevant. Hence, ignored it
Since the value of the depreciation and amortization is not given. So, we do not consider it
Answer:
a. evaluative criteria
Explanation:
Evaluation Criteria: used by a consumer when using choosing between alternatives. Things that can be put into considerations can be features, quality and price for a consumer to come into conclusion on what type to buy
Answer:
C. The customer still owes $0.05
Explanation:
Four $20 bills= $ 80
Three $1 bills= $3
Six quarters = $1.50
One dime = $0.10
One nickel= $0.05
Five pennies = $0.005
Total= $84.7
The accounts receivable credit column of the cash receipts journal is "posted in summary at the end of the month and by individual amounts on a daily basis".
<u>Option: D</u>
<u>Explanation:</u>
In general ledger the sums in the debit and credit column are reported personally. The calendar of receivable accounts is lists of all clients 'accounts, account balances, and total amount due. Here the accounts receivable credit column are those in which the cash receipts journal column is the sums that are added separately to the receivable ledger accounts. Although debit column accounts payable are those in which cash payments journal column is the sums that are added separately to the accounts payable ledger.
