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Zigmanuir [339]
2 years ago
7

Exercise 13-07 Nordstrom, Inc. operates department stores in numerous states. Suppose selected financial statement data (in mill

ions) for 2020 are presented below. End of Year Beginning of Year Cash and cash equivalents $ 760 $ 77 Accounts receivable (net) 2,080 1,890 Inventory 830 810 Other current assets 440 433 Total current assets $4,110 $3,210 Total current liabilities $2,100 $1,590 For the year, net credit sales were $8,258 million, cost of goods sold was $5,328 million, and net cash provided by operating activities was $1,251 million. Compute the current ratio, accounts receivable turnover, average collection period, inventory turnover and days in inventory at the end of the current year
Business
1 answer:
spin [16.1K]2 years ago
3 0

Answer:

See below

Explanation:

Data given

Cash and cash equivalents $760 $77

Accounts receivables net $2,080 $1,890

Inventory $830 $810

Other current assets $440 $433

Total current assets $4,110 $3,210

Total current liabilities $2,100 $1,590

Net credit sales $8,258

Cost of goods sold $5,328

1. Current ratio = Current assets/Current liabilities

= 4,110/2,100

= 1.96

2. Accounts receivable turnover = Credit sales/Average accounts receivables

= 8,258÷ [(2,080+1,890)/2]

= 8,258 ÷ 1,985

= 4.16 times

3. Average collection period = Average accounts receivables/Credit sales × 365 days

= (1,985/8,258) × 365

= 87.7 days

4. Inventory turnover = Cost of goods sold/Average inventory

= 5,328/[830 + 810)/2]

= 5,328/820

= 6.5 times

5. Days in inventory = Average inventory/Cost of goods sold × 365

= (820/5,328) × 365

= 56.2 days

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Accounts ___.a.are not used by entities that manufacture products b.do not reflect money amounts c.are only used by large entiti
Verdich [7]

Answer:

are records of increases and decreases in individual financial statement items

Explanation:

The accounts are the day to day records that the individual, company and the business organization handles. It can be classified into various accounts like - cash accounts, purchase accounts, sales accounts, etc

The cash account is the account which records the payment and receipt of the cash

And, the purchase and sales accounts tracks the purchase of the fixed asset, inventory, and sales of the fixed asset, inventory, etc

There is an end number of transactions that can be either increase or decrease

8 0
3 years ago
Consider a U.S. importer desiring to purchase merchandise from a Dutch exporter invoiced in euros, at a cost of €512,100. The U.
Zolol [24]

Answer:

The importer accepts this price, so his bank will <u>debit</u> the importer's account in the amount of <u>$500000</u>

Explanation:

Debiting an account removes money from the account. Crediting an account adds money to the account.

The bank will  therefore <em>debit</em> his account because the money will be taken out and paid to the exporter.

The amount that the importer pays in dollars can easily be calculate as:

€512,100 / €1.0242 = $500000

5 0
3 years ago
Under what conditions is industry analysis not as powerful?.
-BARSIC- [3]

Answer:

Explanation:

 a) in times of stagnation. b) in fast-changing industries.

7 0
2 years ago
a project partner suggests you make several time consuming edits to your project the day before the deadline, even though she's
ss7ja [257]

Answer:

A and E

Explanation:

Considering the scenario described in the question, the right action to take in this event are:

1. review her suggestions and tell her you'll prioritize the most important ones: due to deadline which is nearby, the best thing to do during review is to ensure the study is done to the essential part of the project

2. ask for her help addressing the edits​: because she's had the opportunity to review the work all along. And she is the one that suggested time-consuming modifications; it is ideal to ask for her input or help make the necessary edits so it will be faster, as she may have seen the needed improvements.

Hence, the correct answer is options A and E.

6 0
3 years ago
an accountant is 40 years old and has an anticipated retirement age of 70 years old. the accountant plans to save $6,000 per yea
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The accountant have upon retirement $336,509.63

What is the future value of an annuity?

The accumulated balance in the accountant's retirement account upon retirement is the future value of $6,000 invested for 3 years earning 4% annual rate of return using the future value formula of an ordinary annuity as shown  below:

FV=PMT*(1+t)^N-1/r

FV=accumulated balance after 30 years=unknown

PMT=annual investment=$6,000

r=rate of return=4%

N=number of annual investments in 30 years=30

FV=$6000*(1+4%)^30-1/4%

FV=$336,509.63

Find out more about future value on:brainly.com/question/20910838

#SPJ1

6 0
1 year ago
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