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neonofarm [45]
3 years ago
12

Which of the following statements is CORRECT? Select one: a. In managing a firm's accounts receivable, it is possible to increas

e credit sales per day yet still keep accounts receivable fairly steady, provided the firm can shorten the length of its collection period (its DSO) sufficiently. b. Because of the costs of granting credit, it is not possible for credit sales to be more profitable than cash sales. c. Since receivables and payables both result from sales transactions, a firm with a high receivables-to-sales ratio must also have a high payables-to-sales ratio. d. Other things held constant, if a firm can shorten its DSO, this will lead to a higher current ratio. e. A firm that makes 90% of its sales on credit and 10% for cash is growing at a constant rate of 10% annually. Such a firm will be able to keep its accounts receivable at the current level, since the 10% cash sales can be used to finance the 10% growth rate.
Business
1 answer:
alexgriva [62]3 years ago
3 0

Answer:

a. In managing a firm's accounts receivable, it is possible to increase credit sales per day yet still keep accounts receivable fairly steady, provided the firm can shorten the length of its collection period (its DSO) sufficiently.

Explanation:

It is possible to increase the credit sales without even increasing the accounts receivables, we will only have to shorten the Days sales outstanding.

mathematically:

DSO = Accounts receivables / Annual sales / 365

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A wool​ suit, discounted by 60 % for a clearance​ sale, has a price tag of $ 620. What was the​ suit's original​ price?
never [62]

Answer:

$1,550

Explanation:

Given that

Price tag = $620

Discount percentage = 60%

By taking the information,

The computation of the suit original price equal to

= Price tag ÷ (1 - discount percentage)

= $620 ÷ (1 - 0.60)

= $620 ÷ 0.40

= $1,550

Therefore, the suit original price is $1,550 after considering the discount percentage and the price tag.

6 0
3 years ago
The Nautical Corporation manufactures custom-made wood wall units. The following data pertains to Job X4A: Direct materials plac
Leokris [45]

Answer:

Total Cost of Job X4A:                                             $

Direct material cost  ($9,000 x 500 units)              4,500,000                              

Direct labour cost (300 hrs x $15 x 500 units )       2,250,000

Overhead applied (100 hrs x $22.50 x 500 units)  1,125,000

Total cost                                                                    7,875,000

Explanation:

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7 0
3 years ago
What aspect of project management was omitted from the PMI definition that is included in the definition proposed by Meredith an
Illusion [34]

Answer:

Fulfilling client expectations

Explanation:

Fulfilling client's expectations is one of the potent ways an organization can achieve its long term corporate objective. If I were on the PMI decision making body, I would not have outrightly voted for its inclusion. What I will do, however, is to:

1. fully gain an understanding of best practices and procedures that could be applied to achieve the client's expectations.

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6 0
3 years ago
_____ are travelers who like adventure, but in moderation.
Kay [80]
C) centrics..........
4 0
3 years ago
When a sales contract is missing terms on when a payment is due, and if the involved parties have not had an established course
Gemiola [76]

Answer:

False

Explanation:

The provision of the Uniform Commercial Code as amended is that any missing terms such as price, quantity,location and expected time of delivery as well as payment terms  can be added to the contract later on with consent of all parties involved or provided in compliance with other commercial codes.

In other words,the fact that payment should be made within seven working days when payment terms are missing is alien to Uniform Commercial Code.

The answer, therefore is false.

7 0
3 years ago
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