3. If net sales is P200,000 and the averageaccounts receivable is P50,000, what is theaccounts receivable turnover ratio? *а. 4b. 1/4c. P150,000d. P250,0005. If total assets amounted to P800,000 andtotal liabilities amounted to P200,000, whatis the debt to equity ratio? *а. 4b. 0.3333c. 0.25d. 39. If the operating expenses of the companyamounted to P50,000, gross salesamounted to P420,000 and sales discountsamounted to P20,000, how much is theoperating expenses to sales ratio? *a. 0.125b. 8c. 0.119d. 8.4

Ratio analysis means where different ratio of various years of years companies has been compared and…

Answered: 3. If net sales is P200,000 and the…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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18. A company had net sales of $31,500, beginning accounts receivable of $3,100 and ending accounts receivable of $2,300 for the current period. Its days' sales uncollected is equal to: A. 11.7 daysB. 23.3 daysC. 31.3 daysD. 42.5 days
Suppose the 2022 financial statements of 3M Company report net sales of $23.1 billion. Accounts receivable (net) are $3.2 billion at the beginning of the year and $3.25 billion at the end of the year. Compute 3M’s accounts receivable turnover. - Accounts Recievable turnover ratio=? (times) Compute 3M’s average collection period for accounts receivable in days - Average collection period =? (days)
5. Using the given, compute the cash conversion cycle of the entity. Beginning Ending Average P 300,000 P 350,000 P 325,000 200,000 Trade receivables 800,000 ??? Inventory Trade payables 300,000 ??? 650,000 For the year Sales (all on credit) P 2,600,000 Purchases 1,950,000 Your answer 7. Interpret the given and the cash conversion cycle. Provide points of improvement. Be specific. Answer in three to five sentences. Your answer
Following is some financial information of 250R Corp: 250 CORP Statement of Income For the years ended December 31, 2020 and 2021 Year Ended 31.12.2021 Sales Revenues Cost of Goods Sold Gross Margin Salaries expense Depreciation expense Interest expense Net income Long-term borrowings Accounts receivable Property, plant & equipment (PPE): Cost Accumulated Depreciation $750,000 (300,000) $450,000 (75,000) (70,000) (30,000) $275,000 Some Selected Balance Sheet Data As at 31.12.2021 $300.000 $525,000 $350,000 210,000 Year Ended 31.12.2020 $500,000 (200,000) $300,000 (50,000) (70,000) (30,000) $150,000 As at 31.12.2020 $300.000 $250.000 $350,000 140,000
14 - Which of the following is the formula to compute accounts receivable turnover? a) The formula is net sales / average net accounts receivable. b) O The formula is cost of goods sold / average inventory The formula is net credit sales / average inventory. d) O The formula is average net accounts receivable / one day's sales.
At January 1, 2025, Pembina Imports Inc. reported this information on its balance sheet. Accounts receivable Less: Allowance for expected credit losses 1. During 2025, the company had the following summary transactions related to receivables and sales. Pembina uses the perpetual inventory system. Pembina expects a return rate of 3%. 2. 3. 4. $696,000 5. 44,800 Sales on account amounted to $2,800,000. The cost of the inventory sold was $2,100,000. Goods with a total sales price of $44,800 and a cost of $33,600 were restored to inventory. Collections of accounts receivable were $2,464,000. Write-offs of accounts receivable deemed uncollectible, $50,400. Recovery of credit losses previously written off as uncollectible, $16,800.
19. The accounts receivable turnover is 8.14, and average net accounts receivable during the period is $400,000. What is the amount of net credit sales for the period? Brief Exercises Identify different types of receivables. BE8.1 (LO 1), C The following are three receivables transactions. Indicate whether these receivables are reported as accounts receivable, notes receivable, or other receivables on a balan a. Sold merchandise on account for $64,000 to a customer. b. Received a promissory note of $57,000 for services performed. c. Advanced $10,000 to an employee. Record basic accounts receivable transactions. PEO AR Rooord the following transactions on the books of Jarvis Co. (Omit cost of goods sold entries.)
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14- Given the following data; TOTAL SALES OMR 250000 CASH SALES OMR 125000 SALES RETURN OMR 5000 OPENING SUNDRY DEBTORS OMR 20000 CLOSING SUNDRY DEBTORS OMR 10000 What will be the Debtors Turnover Ratio (DTR)? a. 8 b. 16 c. 6 d. 5
1. A company, extends credit to its customers. Total Sales is 2 Million, credit Sales is 850,000, Sales Return is 305,000, with percent of uncollectibility set at 4% What is the journal entry under percentage of net credit sales?
What does the accounts receivable turnover ratio measure? Multiple Choice Average balance of accounts receivables How quickly accounts receivable turn into cash How quickly inventory turns into accounts receivable How quickly the accounts receivable balance increases
Using the information in appendix 1 only, comment on the financial performance of thebusiness (briefly consider growth, profitability and credit management)

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3. If net sales is P200,000 and the average accounts receivable is P50,000, what is the accounts receivable turnover ratio? * а. 4 b. 1/4 c. P150,000 d. P250,000