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
valentina_108 [34]
3 years ago
8

Following are the average accounts receivable and net sales reported recently by two large bever age companies (dollar amounts a

re stated in millions):
Average accounts receivable Net sales

Molson Coors Brewing Co................. $720 $8,320
Anheuser-Busch Companies, Inc........ 900 17,400

a. Compute the accounts receivable turnover rate for each company (round your results to one decimal place).
b. Compute the average number of days that it takes for each company to collect its accounts receivable (round your results to the nearest whole day).
c. Based upon your computations in a and b, which company’s accounts receivable appear to be most liquid? Defend your answer.
Business
1 answer:
Vlada [557]3 years ago
3 0

Answer:

A)   Accounts receivable turnover ratio = Net credit sales / Average accounts receivable

The following table shows the accounts receivable turnover ratio of MCB and ABI:

Particulars                                                  MCB          ABI

Net sales                                                 $8320     $17400

Average Accounts Receivable                 $720      $900

Accounts Receivable Turnover rate            11.5                19.3

B)  

Day's sale outstanding  = Accounts receivable / Total credit sales  × 365

The following table shows the days sale outstanding of MCB and ABI:

Particulars                                                    MCB             ABI

Net sales                                                    $8,320           $17,400

Average Accounts Receivable                    $720            $900

Day's sale outstanding                               31.58                 18.88

Explanation:

You might be interested in
The value of generating positive first impressions in your initial interactions with a new employer is best underscored by the r
jarptica [38.1K]

<span>The importance of making positive first impressions in your first few interactions with a new boss is best portrayed by the research on the belief perseverance phenomenon, where it was found that when they have formed an opinion or belief about something or someone, </span><span>people tend to cling to their even in the face of credible contrary evidence.</span>

5 0
3 years ago
An easement appurtenant is attached to the ownership of real estate and allows the owner of that property the use of a neighbor'
galina1969 [7]

Answer:

A) True

Explanation:

An appurtenant easement gives the right to use adjoining property for a specific purpose, and it is transferred to the following owner of the dominant estate automatically.

For example, a landlord may grant an easement appurtenant to a neighbor so that the neighbor can cross his property to reach a public beach.  

7 0
3 years ago
As an analyst at Delta Airlines, you are asked to help the operations staff. Operations has identified a new method of loading b
Marysya12 [62]

Answer:

Labor cost.

Explanation:

8 0
3 years ago
In an examination of purchasing patterns of shoppers, a sample of 16 shoppers revealed that they spent, on average, $54 per hour
Klio2033 [76]

Answer:

The 90% confidence interval is c) $45.3637, $62.6363

Explanation:

Hi, since we need to find the Z value from the standard deviation table that would substract an equal area from both size of the normal distribution graph, we can tell that the probability that we have to rate into account is 5% (I mean,  10%, which we substract from both sides 5%), and the Z number for a probability of 5% is -1.645 which is the lower end of the interval, and due to symmetry, the higher end of the interval would be 1.645.

Now, we need to use the following formula in order to find the lower and higher ends of the interval.

0.9C.L=Mean+1.645(\frac{StdDev}{\sqrt{n} })

Where:

C.L = Confidence Level

Mean = in our case, $54

StdDev = $21

n = sample sizes, in our case, that would be 16

So, the lower level would be

0.9C.L=54-1.645(\frac{21}{\sqrt{16} })

L.End=45.36375

Therefore:

0.9C.L=54+1.645(\frac{21}{\sqrt{16} })

H.End=62.63625

So, the interval in order to have 90% confidence is c. [$45.3637, $62.6363]

3 0
4 years ago
In​ 2019, BayKing Company sold used equipment for $ 21 comma 000. The equipment had an original cost of​ $80,000 and accumulated
Mamont248 [21]

Answer:

$11,000

Explanation:

The cash flow statement categories the company's transactions in a financial period into 3 groups; these are operating, investing and financing.

The net profit/loss, depreciation, changes in current assets (other than cash) and liabilities are considered as operating activities including income taxes.  

The sale of assets, interest received, purchase of investments are examples of investing activities while the issuance of stocks, debt principal deduction (loan settlement), issuance of debt securities etc are examples of financing activities.

An increase in assets other than cash is an outflow while an increase in liabilities is an inflow. Depreciation and other non-cash expenses deducted in the income statements are added back while the non-cash income such gain on asset are deducted from net income.

net investing cash flows

= $21,000 - $10,000

= $11,000

3 0
3 years ago
Other questions:
  • Angela, Inc., a U.S. company, had a euro receivable from exports to Spain and a British pound payable resulting from imports fro
    8·2 answers
  • Inventory records for Marvin Company reveal the following: Date Transaction Number of Units Unit Cost Mar 1 Beginning Inventory
    8·1 answer
  • A coal company invests $12 million in a mine estimated to have 20 million tons of coal and no salvage value. it is expected that
    14·1 answer
  • O que é racismo no futebol ?????me ajudem é para a manhã
    9·1 answer
  • Goshford Company produces a single product and has capacity to produce 105,000 units per month. Costs to produce its current sal
    13·1 answer
  • Cash received prior to delivering a product or performing a service is called what
    8·1 answer
  • Each account that is used can be classified as an asset. True or False
    9·1 answer
  • Charlie likes both apples and bananas. he consumes nothing else. the consumption bundle where charlie consumes xa bushels of app
    7·1 answer
  • Recording the Early Retirement of a Bond Issued at a Premium (with Premium Account) LO10-7 Several years ago, Cyclop Company iss
    14·1 answer
  • Alex wants to pay off his credit card balance before he gets married. he decides to take the $2,340 out of his savings and apply
    13·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!