23. Use the following financial statement information: Item Inventory Accounts Receivable Accounts Payable Credit Sales Cost of goods Sold Beginning $1,500 2,300 1,400 $18,250 $14,500 Ending $1,800 2,600 1,100 Calculate the inventory period The receivables period -49 days. Calculate the operating cycle. In a very short sentence, interpret the result. The accounts payable period = 31 days. Calculate the cash cycle. In a very short entence, interpret the result.
23. Use the following financial statement information: Item Inventory Accounts Receivable Accounts Payable Credit Sales Cost of goods Sold Beginning $1,500 2,300 1,400 $18,250 $14,500 Ending $1,800 2,600 1,100 Calculate the inventory period The receivables period -49 days. Calculate the operating cycle. In a very short sentence, interpret the result. The accounts payable period = 31 days. Calculate the cash cycle. In a very short entence, interpret the result.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Topic Video
Question
![23. Use the following financial statement information:
Item
Inventory
Accounts Receivable
Accounts Payable
Credit Sales
Cost of goods Sold
Beginning
$1,500
2,300
1,400
$18,250
$14,500
Ending
$1,800
2,600
1,100
Calculate the inventory period
The receivables period -49 days. Calculate the operating cycle. In a very short
sentence, interpret the result.
The accounts payable period=31 days. Calculate the cash cycle. In a very short
sentence, interpret the result.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F6a09fa42-86ac-4b03-9854-5d278548d582%2F47175033-beae-4270-802b-5c883e72060f%2Fechsa5_processed.jpeg&w=3840&q=75)
Transcribed Image Text:23. Use the following financial statement information:
Item
Inventory
Accounts Receivable
Accounts Payable
Credit Sales
Cost of goods Sold
Beginning
$1,500
2,300
1,400
$18,250
$14,500
Ending
$1,800
2,600
1,100
Calculate the inventory period
The receivables period -49 days. Calculate the operating cycle. In a very short
sentence, interpret the result.
The accounts payable period=31 days. Calculate the cash cycle. In a very short
sentence, interpret the result.
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