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ahrayia [7]
3 years ago
12

A company with current-year sales of $4,500,000 and cost of goods sold of $3,248,000 reduced its inventory days from 119 days in

the prior year to 115 days for the current year. Its receivable days slowed from 40 days to 43 days. What was the cash flow effect of these swing-factor efficiency changes
Business
1 answer:
Alina [70]3 years ago
7 0

Answer:

($1391.78)

Explanation:

According to the problem, computation of the given data are as follows,

Sales = $4,500,000  

COG sold = $3,248,000

First we calculate the amount receivable in both 40 and 43 days, then

Amount Receivable = Sale ( Receivable days ÷ 365)

Amount Receivable (40 days) = $4,500,000 ( 40 ÷ 365) = $493,150.68

Amount Receivable (43 days) = $4,500,000 ( 43 ÷ 365) = $530,136.99

So, change in receivables = $530,136.99 - $493,150.68

= $36,986.30

Now we calculate the inventory for both 119 and 115 days

Inventory = COG Sold ( Inventory Days ÷ 365)

Inventory (119 Days) = $3,248,000 ( 119 ÷ 365) = $1,058,936.99

Inventory (115 Days) = $3,248,000 ( 115 ÷ 365) = $1,023,342.47

So, change in inventory = $1,058,936.99-$1,023,342.47

= $35,594.51

So, we can calculate the cashflow effect by using following formula,

Cashflow change = Change in inventory - Change in receivables

By putting the value, we get

Cashflow change = $35,594.51 - $36,986.30

=  ($1391.78) (Bracket denotes negative)

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"Sydney has a portfolio with 50 shares of AAA with a current value of $20 per share, a return of 12%, and a beta of 1.30. She al
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Answer: 12.72%

Explanation:

Given the following information ;

50 Shares of AAA at $20 and expected returns of 12%

25 Shares of BBB at $60 and expected returns of 10%

75 Shares of CCC at $50 and expected returns of 14%

Total value of the portfolio ;

Total Portfolio Value = ( 50×20 ) + ( 25×60 ) + ( 75×50 )

= 1000 + 1500 + 3750 = $6,250

Weight of each share in the portfolio;

Weight of Stock AAA = ( 50×20 ) / 6250 = 0.16

Weight of Stock BBB = ( 25×60 ) / 6250 = 0.24

Weight of Stock CCC = ( 75×50 ) / 6250 = 0.60

Expected return on portfolio is calculated thus;

Expected Portfolio Return = ( Weight of AAA×Expected Returns ) + ( Weight of BBB×Expected Returns ) + ( Weight of CCC×Expected Returns )

Expected Portfolio Return = ( 0.16×0.12 ) + ( 0.24×0.10 ) + ( 0.60×0.14 )

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6 0
3 years ago
you have $6000 to invest in two stock funds. The first fund pays 5% annual interest and the second account pays 9% annual intere
stira [4]

Answer:

Amount of money invested is $2,000 and $4,000

Explanation:

In this question, we are asked to calculate how much was invested in two different accounts given the amount of money invested in both accounts.

Let the amount of money invested in both accounts be a and b respectively.

Mathematically;

A + B = 6000 ......I

Now we use the formula for simple interest to check the amount that is supposed to be made on Both accounts if he end of a year.

Formula for simple interest is I = PRT/100

Let’s apply this to what is on ground:

5*1* a/100 = 5a/100

Second is

9*b*1/100 = 9b/100

That is 5a + 9b = 38,000. ........ii

Solving Both simultaneously as follows:

Let A = 6000-b from 1

Substitute this into 2

5(6000-b) + 9b = 38,000

30,000 -5b + 9b = 38,000

4b = 8,000

b =$2000

This means a would be 6000 - 2,000 = $4000

8 0
3 years ago
Stocks X and Y have the following data. Assuming the stock market is efficient and the stocks are in equilibrium, which of the f
Lapatulllka [165]

Answer:

B. One year from now, Stock X's price is expected to be higher than Stock Y's price.

Explanation:

Hope it helped...Please mark brainliest. Have a nice day!

7 0
2 years ago
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