Blue water Electronics provided the following data for the current year: Net sales on account during the year: $500,000 Cost of merchandise sold during the year: $400,000 Accounts receivable, beginning of the year: $60,000 Accounts receivable, end of the year: $40,000 Inventory, beginning of the year: $120,000 Inventory, end of the year: $140,000 What is Blue water Electronics' accounts receivable turnover? a. 12.5 b. 11.2 c. 13.5 d. 10.5

Blue water Electronics provided the following data for the current year: Net sales on account during the year: $500,000 Cost of merchandise sold during the year: $400,000 Accounts receivable, beginning of the year: $60,000 Accounts receivable, end of the year: $40,000 Inventory, beginning of the year: $120,000 Inventory, end of the year: $140,000 What is Blue water Electronics' accounts receivable turnover? a. 12.5 b. 11.2 c. 13.5 d. 10.5

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 56P: The following selected information is taken from the financial statements of Arnn Company for its...

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The following selected information is taken from the financial statements of Arnn Company for its most recent year of operations: During the year, Arnn had net sales of 2.45 million. The cost of goods sold was 1.3 million. Required: Note: Round all answers to two decimal places. 1. Compute the current ratio. 2. Compute the quick or acid-test ratio. 3. Compute the accounts receivable turnover ratio. 4. Compute the accounts receivable turnover in days. 5. Compute the inventory turnover ratio. 6. Compute the inventory turnover in days.
The following information is available for Cooke Company for the current year: The gross margin is 40% of net sales. What is the cost of goods available for sale? a. 5840,000 b. 960,000 c. 1,200,000 d. 1,220,000
Last year, Tobys Hats had net sales of 45,000,000 and cost of goods sold of 29,000,000. Tobys had the following balances: Refer to the information for Tobys on the previous page. Required: Note: Round answers to one decimal place. 1. Calculate the average accounts receivable. 2. Calculate the accounts receivable turnover ratio. 3. Calculate the accounts receivable turnover in days.
Last year, Nikkola Company had net sales of 2,299,500,000 and cost of goods sold of 1,755,000,000. Nikkola had the following balances: Refer to the information for Nikkola Company above. Required: Note: Round answers to one decimal place. 1. Calculate the average inventory. 2. Calculate the inventory turnover ratio. 3. Calculate the inventory turnover in days. 4. CONCEPTUAL CONNECTION Based on these ratios, does Nikkola appear to be performing well or poorly?
On January 1, Pope Enterprises inventory was 625,000. Pope made 950,000 of net purchases during the year. On its year-end income statement, Pope reported cost of goods sold of 1,025,000. Calculate Popes December 31 ending inventory.
Cost of goods sold and related items The following data were extracted from the accounting records of Harkins Company for the year ended April 30, 20Y8: Estimated returns of current year sales 11,600 Inventory, May 1, 20Y7 380,000 Inventory, April 30, 20Y8 415,000 Purchases 3,800,000 Purchases returns and allowances 150,000 Purchases discounts 80,000 Sales 5,850,000 Freight in 16,600 a. Prepare the Cost of goods sold section of the income statement for the year ended April 30, 20Y8, using the periodic inventory system. b. Determine the gross profit to be reported on the income statement for the year ended April 30, 20Y8. c. Would gross profit be different if the perpetual inventory system was used instead of the periodic inventory system?
Based on the following data for the current year, what is the number of days' sales in receivable? Net sales on account during year $495,046 Cost of goods sold during year 202,912 Accounts receivable, beginning of year 45,637 Accounts receivable, end of year 52,238 Inventory, beginning of year 94,359 Inventory, end of year 104,951 Round your answer up to the nearest whole day.
Tripod Company makes all sales on account. During the current year, Tripod has an average accounts receivable balance of $60,000, an average inventory balance of $96,000, cost of goods sold of $345,000, and net income of $117.000. If Tripod's gross margin percentage is 42.5%, what was its average collection period? Round to one decimal point. O 18.3 days O 24.3 days O 30.4 days O 36.5 days O None of the above
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Based on the following data for the current year, what is the number of days' sales in receivables? Assume 365-Day year. Sales on account during year $425,334 Cost of goods sold during year 211,989 Accounts receivable, beginning of year 43,627 Accounts receivable, end of year 51,814 Inventory, beginning of year 83,323 Inventory, end of year 108,050 Round your answer up to the nearest whole day. a. 182 b. 93 Ос. 82 d. 41
Based on the following data for the current year, what is the days' sales in receivables? Assume 365 days a year. Line Item Description Amount Sales on account during year $444,688 Cost of goods sold during year 188,576 Accounts receivable, beginning of year 45,189 Accounts receivable, end of year 51,774 Inventory, beginning of year 80,151 Inventory, end of year 112,830 Round your answer up to the nearest whole day.