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Alja [10]
3 years ago
7

Magneto Company had net credit sales during the year of $1,350,000 and cost of goods sold of $810,000. The balance in accounts r

eceivable at the beginning of the year was $180,000, and the end of the year it was $120,000. What was the accounts receivable turnover?
Business
1 answer:
Mamont248 [21]3 years ago
4 0

Answer:

Account receivable turnover ratio = 9

Explanation:

The account receivable turnover ratio shows how well a business is managing its credit line it extended to its customers.It provides information on how effective a business is in the collection of amounts due from customers in respect of credit sales made.

It is calculated using the  formula below:

Account receivable turnover  =

Net credit sales/ Average account receivable

<em>Average account receivable=</em>

<em>(Receivable balance at the begin. + Receivable balance at the end)/2</em>

We can calculate the account receivable turnover for Magneto Company as follows:

Step 1

<em>calculate the average account receivable</em>

= ($180,000+ $120,000)/2

= $150,000

Step 2

<em>Calculate the account receivable turnover ratio ( ARTR)</em>

ART = $1,350,000/$150,000

      = 9

Account receivable turnover ratio = 9

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consumers don’t provide land

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2 years ago
Ari is currently consuming 10 hot dogs and 8 hamburgers per week. The last hot dog she consumed yielded 20 utils while the last
katen-ka-za [31]

Answer:

Yes, there is no need to change the eatings habits

Explanation:

Ari will maximize utility until

MU / P for both is equal in order to be at equilibrium

So, in this case,

For Hot dogs

= MU / P

where

MU is marginal utils, which is 20

P is Price, which is $2

So,

= 20 / $2

= 10

For Hamburgers

= MU / P

where

MU is marginal utils, which is 25

P is Price, which is $2.5

So,

= 25 / $2.5

= 10

Therefore, MU / P for hot dog = MU / P for Hamburger

Hence, there is not need to change the eatings habits.

6 0
2 years ago
A organization in which specialists from different parts of the organization are brought together to work on specific projects b
Genrish500 [490]

Answer:

Matrix organization structure

Explanation:

A matrix organizational structure is a work arrangement in which employees report to two or more supervisors rather than one line manager overseeing every project aspect. The reporting relationships are grid-like, with employees reporting to both product and functional managers. For example, an employee may have a direct manager they report to, plus one or more project managers they operate under.

The matrix organizational structure is useful when sharing skills across departments is necessary to complete a project.

8 0
3 years ago
A rich relative has bequeathed you a growing perpetuity. the first payment will occur in a year and will be $ 3 comma 000$3,000.
MAVERICK [17]
A. For knowing today's value of the bequest we need to know the period of time.
When the first payment occure and how many payments were made. 
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8 0
3 years ago
Yan Yan Corp. has a $5,000 par value bond outstanding with a coupon rate of 4.6 percent paid semiannually and 21 years to maturi
Aleonysh [2.5K]

Answer:

Price of the bond = $4,122.36

Explanation:

<em>The value of the bond is the present value(PV) of the future cash receipts expected from the bond. The value is equal to present values of interest payment plus the redemption value (RV).  </em>

Value of Bond = PV of interest + PV of RV  

The value of bond for Yan Yan Corp.  be worked out as follows:  

Step 1  

<em>PV of interest payments  </em>

Semi annul interest payment  

= 4.6% × 5,000 × 1/2 = 115

Semi-annual yield = 4.1%/2 = 2.05  % per six months  

Total period to maturity (in months)   = (2 × 21) = 41 periods

PV of interest =  

115  × (1- (1+0.0205)^(-21)/0.0205)=1,946.47

Step 2  

<em>PV of Redemption Value  </em>

= 5000 × (1.0205^(-41)   = 2,175.89

<em>Step 3:Price of the bond </em>

Total present Value = 1,946.47  +  2,175.89  = 4,122.36

Price of the bond = $4,122.36

 

5 0
3 years ago
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