B. Last year, Nikkola Company had net sales of P2,299,500, and cost of goods sold of P1,755,000. Nikkola had the following balances: January 1 P142,650,000 December 31 Accounts Receivable P172,350,000 Inventories 54,374,200 62,625,800
B. Last year, Nikkola Company had net sales of P2,299,500, and cost of goods sold of P1,755,000. Nikkola had the following balances: January 1 P142,650,000 December 31 Accounts Receivable P172,350,000 Inventories 54,374,200 62,625,800
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter5: The Income Statement And The Statement Of Cash Flows
Section: Chapter Questions
Problem 2MC: The following information is available for Cooke Company for the current year: The gross margin is...
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Required: (Round answers to one decimal place)
1. Calculate the accounts receivable turnover ratio
2. Calculate the average inventory ratio
3. Based on these ratios, does Nikkola appear to be performing well or poorly?
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