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VARVARA [1.3K]
3 years ago
14

Jerry Rawls is the purchasing manager for the headquarters of a large insurance company chain with a central inventory operation

at COBA Inc. His data in millions are as follows: Given that their Inventory Turnover is 50 times per year, their Accounts Receivable Turnover is 7 times per year and their Accounts Payable Turnover is 3 times per year, what is their Cash-to-Cash Conversion Cycle
Business
1 answer:
Savatey [412]3 years ago
8 0

Answer: 0.785 days

Explanation:

Cash conversion cycle = Days inventory outstanding + Days sales outstanding – Days payable outstanding

Days inventory outstanding = 365/inventory turnover

= 365 / 50

= 7.3 days

Days sales outstanding = 365 / 8

= ‭45.625‬ days

Days payable outstanding = 365 / 7

= 52.14 days

Cash conversion cycle = 7.3 + 45.625 - 52.14

= 0.785 days

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Answer:

1. Present value

2. Market

Explanation:

Neumann Corporation is planning to issues bonds with a face amount of $2 million. If Neumann's accountant, Betty, wants to calculate the expected issue she should calculate the present value of the related future cash payments using the market interest rate.

3 0
3 years ago
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In a statement of cash flows, the sum of cash inflows and outflows is equal to:
PolarNik [594]

When in the statement of cashflows, the cash inflows and the outflows are added, the result is the <u>change </u><u>in the </u><u>cash balance. </u>

The statement of cashflows shows the movement of cash in a company and how much cash the company is left with at the end of the period.

The statement includes:

  • Cash outflows which are deductions
  • Cash inflows which bring in money

Cash outflows are denoted in negatives and when added to cash inflows, show the change in the cash that the company has / its balance.

In conclusion, adding the cash inflows and outflows shows the change in cash.

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5 0
2 years ago
What do administrative support careers do? Name three tasks.
ANTONII [103]
1.Computer software
2.Operate fax machines
3.Answer routine letters and email

4 0
3 years ago
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Andy just purchased a 2.5 acre vacant lot of land for $500,000. What was the price per square yard?
julsineya [31]

Andy just purchased a 2.5 acre vacant lot of land for $500,000. $41.32 per sq. yd price per square yard.

$500,000 ÷ 12,100 sq. yds. = $41.32 per sq. yd

What is square yard?

  • The length times the width, expressed in feet, must be multiplied by 9, and the result is the square yard (SQYDS). A square yard measures 9 square feet.
  • One billion is referred to as "yard" in finance. The word is derived from "milliard," which is comparable to the number one billion in American English and is used in various European languages.
  • Add the area to the conversion factor to convert a square yard measurement to a square foot measurement. The square yards multiplied by nine gives the area in square feet.
  • Add the length to the conversion factor to convert a yard measurement to a meter measurement. The yards times 0.9144 converts to the length in meters.

To learn more about square yard visit:

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7 0
1 year ago
A company decides on the worth of a product, keeping in mind the disposable income of customers
Artist 52 [7]

Household net disposable income is calculated by taking the sum of household income, wages, and other earned money and subtracting all income taxes paid. To break this down, you will add up your household wages, salaries, any other income, net property income (if applicable), and any net transfers in kind (net amount).
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