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PolarNik [594]
3 years ago
6

A firm purchased raw materials on account and paid for them within 30 days. The raw materials were used in manufacturing a finis

hed good sold on account 100 days after the raw materials were purchased. The customer paid for the finished good 60 days later. The firm's cash conversion cycle is ________ days.
Business
1 answer:
Nataly_w [17]3 years ago
7 0

Answer: 130 days

Explanation:

The Cash Conversion Cycle is a measure that attempts to show how many days on average it takes a company to convert resources into cash.

It is calculated with the following formula,

= Days of Inventory Outstanding + Days of Sales Outstanding - Days of Payables Outstanding

Where,

Days of Inventory Outstanding is the amount of days it takes to convert inventory to sales

Days of Sales Outstanding is the amount of time it takes debtors to pay the company for goods they bought and,

Days of Payables Outstanding is the time it took the company to pay for the goods it bought

Plugging in the figures we have,

= 100 + 60 - 30

= 130 days

The firm's cash conversion cycle is 130 days.

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An effective frequency of an ad means the average number of times a person must receive a message before it is truly received.

<h3>What is an effective frequency?</h3>

It means the number of times that a consumer must be exposed to an advert before the optimization of their likelihood of completing whatever the desired action is will be possibie.

In conclusion, these measures is serves a necessary tactic to drive customers' exposure to a message, product, or service

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2 years ago
List the four stages of ability development. Provide an example of a person developing a specific ability. What would each stage
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4 0
3 years ago
Read 2 more answers
True or False. Expense for a quality-assurance warranty is recorded along with the related liability in the reporting period in
Novosadov [1.4K]

Answer:

True

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Whenever a company sells products that may generate warranty expenses, it must estimate the warranty expenses associated with the products sold.

It must credit a warrant liability account, and as the warrant claims are made, the company must debit a warranty expense account.

5 0
3 years ago
Jenny is a line manager at Maxvin Corp. She is assigned the task of understanding and gathering detailed information about the r
ioda

Answer: Option (D)

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Job analysis is also referred to as work analysis is known as a family or group of procedures or process taken in order to identify composition of any job in regards with the activities indulged and also job requirements or attributes needed in order to perform these activities. Job analysis tends to provide information of company that helps to evaluate which individual is the best fit for a particular jobs.

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3 years ago
A manager's operation had sales this period of $89,775. last period sales were $85,500. what was the manager's percentage sales
alexandr402 [8]

A manager's operation had sales this period of $89,775. last period sales were $85,500. So the manager's percentage sales increase for this period when compared to last period was 5% .

The percentage increase is the measure of the percentage change. The percentage increase is defined as the ratio of increased value to the original value and then multiplied by 100. Here the increased value can be calculated by taking the difference between the final value and the initial value. The formula to calculate increase is given by -

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