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2 years ago

True or false: Merchandise inventory is generally converted to cash more quickly than accounts receivable.

Business

1 answer:

Makovka662 [10]2 years ago

3 0

Answer:

False

Explanation:

Merchandise inventory is the stock that company have to kept in its godown while the account receivable is that when company sold the goods on credit basis to the customer

So here the company could received the payment within 12 months it can be in within month also

So the given statement is false

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Megasoft Corporation develops, produces, and markets a wide range of computer software including the Windows operating system. M

Nady [450]

Answer:

Megasoft Corporation

1. The amount of accounts receivable that was written off during the year ended June 30, 2016 was:

= $72 million

2. Receivable Turnover Ratio in 2016

= 2016 Net Sales/Average receivables

= $68,000/$16,660 = 4.1

Explanation:

a) Data and Calculations:

June 30, 2016 June 30, 2015

Net Sales Revenue $68,000 $62,000

Accounts Receivable

(all amounts in millions) $17,260 $16,060

Allowance for

Doubtful Accounts of 310 360

Net Accounts receivable $ 16,950 $ 15,700

Bad Debts Expense = $22

Allowance for Doubtful Accounts

Date Account Titles Debit Credit

June 30, 2015 Beginning balance $310

2016 Bad Debts Expense 22

2016 Accounts receivable 72

June 30, 2016 Ending balance $360

Accounts Receivable

Date Account Titles Debit Credit

June 30, 2015 Beginning balance $16,060

2016 Net sales 68,000

2016 Allowance for Doubtful $72

2016 Cash 66,728

June 30, 2016 Ending balance $17,260

Average receivables = $16,660 ($16,060 + $17,260)/2

Receivable Turnover Ratio in 2016

= 2016 Net Sales/Average receivables

= $68,000/$16,660 = 4.1

8 0

2 years ago

Summarize the main points of a wise investment strategy

mestny [16]

Answer:

Strategy 1: Value Investing.

Strategy 2: Growth Investing.

Strategy 3: Momentum Investing.

Strategy 4: Dollar-Cost Averaging.

4 0

3 years ago

Stop and Go has a 4.5 percent profit margin and a 15 percent dividend payout ratio. The total asset turnover is 1.6 and the debt

AVprozaik [17]

Answer:

10.85 percent

Explanation:

Return on equity = 0.045 × 1.60 ×(1 + 0.60) = 0.1152

Sustainable growth = [0.1152 × (1 - 0.15)]/{1 - [.1152 × (1 - 0.15)]} = 10.85 percent

The sustainable growth rate is the rate of growth that a company can expect to see in the long term. Often referred to as G, the sustainable growth rate can be calculated by multiplying a company’s earnings retention rate by its return on equity. The growth rate can be calculated on a historical basis and averaged in order to determine the company’s average growth rate since its inception.

The sustainable growth rate is an indicator of what stage a company is in, during its life cycle. Understanding where a company is in its life cycle is important.

3 0

3 years ago

Consider two neighboring island countries called Euphoria and Contente. They each have 4 million labor hours available per week

liubo4ka [24]

Explanation:

here is an explanation and solution to your question

For Euphoria:

The opportunity cost of producing a unit of rye in terms of jeans =20/5 = 4

for contente:

The opportunity cost of producing a unit of rye in terms of jeans = 16/8 = 2

opportunity cost of producing 1 unit of jean in terms of unit of rye:

for euphoria = 5/20 = 1/4

for contente = 8/16 = 1/2

Euphoria's opportunity cost of producing a a bushel of rye is 4 pairs of jeans.

contentes opportunity cost of producing a bushel of rye is 2 pairs of jeans.

contente has comparative advantage in producing rye

euphoria has comparative advantage in jeans production

contente produces 8 bushels of rye so with 4 million hours of labor = 8x4 = 32 million bushels in a week.

euphoria 20 pairs of jean in a week, using 4 million hours of labor. 20x4 = 80 pairs of jean a week

8 0

3 years ago

A common tool project teams use to show resource assignments is a responsibility matrix. typically, this chart will depict:

geniusboy [140]

A common tool project teams use to show resource assignments is a responsibility matrix. Typically, this chart will depict what role each person on the team will have during each activity.

Managers set up a log to show each persons role for project completion. This allows for more streamline work and eliminates the questions regarding what each person should or shouldn't be doing.

3 0

3 years ago

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