Bluewater, Inc. has the following estimated quarterly sales for next year. The accounts receivable period is 60 days. What is the expected accounts receivable balance to the nearest dollar at the end of the third quarter? Assume that each month has 30 days. Q2 Q3 Q4 $1,300 $1,425 $2,200 a. $800 b. $367 c. $950 d. $733 e. $867 Q1 Sales $1,850

Bluewater, Inc. has the following estimated quarterly sales for next year. The accounts receivable period is 60 days. What is the expected accounts receivable balance to the nearest dollar at the end of the third quarter? Assume that each month has 30 days. Q2 Q3 Q4 $1,300 $1,425 $2,200 a. $800 b. $367 c. $950 d. $733 e. $867 Q1 Sales $1,850

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

Problem 1PS

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The following forecasted information was taken from the books of Pakhama Enterprises.The following information is also provided for Pakhama Enterprises:60% of all sales is on credit.Debtors are expected to pay their debts as follows:• 70% in the first month after the sale (after 30 days)• 20% in the second month after the sale (after 60 days)• 7 % in the third month after the sale (after 90 days)• 3% is irrecoverableCredit losses are written off at the end of the month in which the last instalment is received.Debtors will amount to R104 994 on 1 Jan 2020.Total sales for 2019 are as follows:• October 2019 = R120 000• November 2019 = R132 000• December 2019 = R135 000Month 2020 Budgeted SalesJanuary 120 000February 140 000March 168 000April 144 000May 128 000June 100 000 Required:b. Prepare the schedule of budgeted receipts from debtors for the period 1 January2020 to 31 March 2020. Round to two decimals.a. Pakhama Enterprises wants to extent its credit terms in order to increase the…
The cost of product X is 30 percent of its selling price, and the carrying cost is 8 percent of selling price. Accounts are paid on average 60 days after sale. Sales per month average P35,000. What is the investment in accounts receivable? CHOOSE THE ANSWERA. P600.00B. P6,600.00C. P19,000.00D. P16,600.00E. P26,600.00
A bank is advertising 15% accounts that yield 15.60% annually. How often is the interest compounded? (daily, monthly, bimonthly, annually, quarterly) Note: Include the given
A firm has the following monthly pattern of sales: January $ 200 February 300 March 600 April 1,200 May 600 June 300 Sixty percent of the sales are on credit and are collected after a month. The company pays wages each month that are 60 percent of sales and has fixed disbursements (for example, rent) of $150 a month. In March it receives $250 from a bond that matures; in April and June it makes a tax payment of $150. Management maintains a cash balance of $200 at all times. Construct a cash budget that indicates the firm’s monthly needs for short-term financing. Its beginning cash position is $200. Round your answers to the nearest dollar. Enter the disbursements values in Part 2 and desired level of cash in Part 3 as positive values. Use a minus sign to enter cash outflows, shortage of cash values, negative initial and ending cash positions in Part 3, if any. Do not leave any cells blank. If the answer is zero, enter "0". Part 1 January February…
Given an annual credit sales value of 365 million; accounts receivable beg. 36.5 million, cost of goods sold of 240 million, and beginning inventory of 20 million, how long is the average colelction period? (assume 365 days in a year)
Your company forecasts that next year's sales will be $78.00 million and the Days Sales Outstanding (DSO) ratio will be 24.84. What is the forecasted accounts receivable for next year? Note: your answer should in millions of dollars..
Receivables Investment Snider Industries sells on terms of 2/10, net 45. Total sales for the year are $1,300,000. Thirty percent of customers pay on the 10th day and take discounts; the other 70% pay, on average, 50 days after their purchases. Assume a 365-day year. What is the days sales outstanding? Do not round intermediate calculations. Round your answer to the nearest whole number. days What is the average amount of receivables? Do not round intermediate calculations. Round your answer to the nearest dollar. $ What would happen to average receivables if Snider toughened its collection policy with the result that all nondiscount customers paid on the 45th day? Do not round intermediate calculations. Round your answer to the nearest dollar. $
A firm collects 25% of its credit sale in the month of sale and the remainder in the following month. The credit sale for the month of June is GHC 150,000. It expert to pay bills of GHC 22,000 in July. The depreciation for the month is GHC 1000. If the company maintains an end month cash balance of GHC 100,000, what is the external finance required?
If Dominion Bank also pays 3.25% annual interest, compounded daily. If you had the following deposits and withdrawals, calculate the amount of interest you would have earned at Dominion bank during the month of March. (March has 31 days) DATE ACTIVITY BALANCE March 1 beginning balance $5,500 March 10 $500 March 28 deposit $700 O $14.47 O $14.07 O $16.08 O $17.69 ???? ACCOUNT withdraw ????
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