Assets Liabilities and Equity Cash 1,600 Accounts payable 1,800 Accounts receivable 4,200 Notes payable 3,200 Inventory 3,000 Accruals 1,500 Total current assts 8,800 Total current liabilities 6,500 Long-term Debt 4,000 Net Plant, property and equipment 8,200 Total liabilities 10,500 Common equity Total liabilities and equity 6,500 Total Assets 17,000 17,000 amounts is $ Thousands

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Hammond Motors had sales of $35 million in 2020 with a cost of goods sold of $20 million. A simplified balance sheet for Hammond appears below attached: 

24) Hammond's cash conversion cycle in 2020 is closest to:

  1. A) 22 days
  2. B) 44 days
  3. C) 58 days
  4. D) 66 days
Assets
Liabilities and Equity
Accounts payable
Notes payable
Cash
1,600
1,800
Accounts receivable
4,200
3,200
Inventory
3,000
Accruals
1,500
Total current assts
8,800
Total current liabilities
6,500
4,000
10,500
Long-term Debt
Net Plant, property and equipment
8,200
Total liabilities
Common equity
Total liabilities and equity
6,500
Total Assets
17,000
17,000
amounts is $ Thousands
Transcribed Image Text:Assets Liabilities and Equity Accounts payable Notes payable Cash 1,600 1,800 Accounts receivable 4,200 3,200 Inventory 3,000 Accruals 1,500 Total current assts 8,800 Total current liabilities 6,500 4,000 10,500 Long-term Debt Net Plant, property and equipment 8,200 Total liabilities Common equity Total liabilities and equity 6,500 Total Assets 17,000 17,000 amounts is $ Thousands
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