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Gnoma [55]
3 years ago
6

Consider the following financial statement information for the Sourstone Corporation:

Business
1 answer:
DENIUS [597]3 years ago
5 0

Answer:

A. 56.32 days

B. 40.38 days

Explanation:

The Operating cycle is the Inventory period + AR period

Inventory period= 365/(Cost of goods sold/Average inventory)

Average inventory= (Beginning Inventory + Ending Inventory)/2

Accounts Receivable period= 365/(Credit Sales/Average Accounts Receivable )

Average Accounts Receivable= (Beginning Accounts Receivable + Ending Inventory Accounts Receivable)/2

Calculated Inventory period= 42.58 days

Calculated Accounts Receivable period= 13.74 days

The Cash cycle is also called the Net Operating cycle which is the Inventory period + Accounts Receivable period- Accounts Payable period

Accounts Payable period= 365/(Cost of goods sold/Average Accounts Payable)

Average Accounts Payable = (Beginning Accounts Payables + Ending Inventory Accounts Payable)/2

Calculated Accounts Payable period= 15.94 days

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Shalnov [3]

Answered:who do you work for

Explanation:

5 0
2 years ago
Reliable Enterprises sells distressed merchandise on extended credit terms. Collections on these sales are not reasonably assure
sveta [45]

Answer:

the installment receivables is $10,000

Explanation:

The computation of the installment receivables is shown below:

installment receivable ($55,000 - $20,000) $35,000

LesS: Deferred gross profit ($55,000 - $30,000) $25,000

Installments Receivable $10,000

hence, the installment receivables is $10,000

The same should be considered and relevant

6 0
3 years ago
The Solar Calculator Company proposes to invest $5 million in a new calculator-making plant that will depreciate on a straight-l
Harrizon [31]

Answer:

The Break-even annual sales= $2,222,222.22

Explanation:

<em>The break-even sales is the amount of revenue that a business must generate that would equate its total costs to total revenue. At the break even sales, the contribution is exactly to total iced cost, and the business makes no profit or loss</em>

Contribution margin ratio = (20-5)/20=75%

Break-even (units) = Total general fixed cost /(selling price- variable cost)

                              = 5,000,000/75%

                            =  $6,666,666.67

The annual sales = $6,666,666.67/3 =   $2,222,222.22  

The Break-even annual sales= $2,222,222.22

8 0
2 years ago
Bidder conferences are used to:
Zarrin [17]

Answer:

A. Answer questions about the project prior to submittal of proposals

Explanation:

A bidder conference is a meeting held by a buyer to discuss a possible purchase with multiple potential suppliers.

4 0
3 years ago
Suppose you deposit $116 today, $135 in one year, and $885 in two years in an account that pays an annual rate of interest of 14
olga nikolaevna [1]

Answer:

The answer is $1357.85

Explanation:

Future value= Σ C(1+i)^n

FV = 116(1.141^3) + 135( 1.141^2) + 885(1.141) = $1357.85

7 0
3 years ago
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