Comparing Two Companies in the Same Industry: Under Armour and Columbia Sportswear The following information is available from the financial statements included in Form 10-K for fiscal years 2014 and 2013 for Under Armour, Inc. and Columbia Sportswear Company (in thousands of dollars): Under Armour, Inc. Columbia Sportswear Company Net revenues (Net sales for Under Armour, Inc. & Columbia Sportswear) for the year ended December 31, 2014 $3,084,370 $2,100,590 Accounts receivable, net: December 31, 2014 279,835 344,390 December 31, 2013 209,952 306,878 Required: 1. Calculate the accounts receivable turnover ratios for both companies for the most recent year. Assume all sales are on credit. Round your answers to 2 decimal places. Under Armour fill in the blank 1 times Columbia Sportswear fill in the blank 2 times 2. Calculate the average length of time it takes each company to collect its accounts receivable. Use 360 days and round intermediate calculations to 2 decimal places and final answers to the nearest day. Under Armour fill in the blank 3 days Columbia Sportswear fill in the blank 4 days
Comparing Two Companies in the Same Industry: Under Armour and Columbia Sportswear The following information is available from the financial statements included in Form 10-K for fiscal years 2014 and 2013 for Under Armour, Inc. and Columbia Sportswear Company (in thousands of dollars): Under Armour, Inc. Columbia Sportswear Company Net revenues (Net sales for Under Armour, Inc. & Columbia Sportswear) for the year ended December 31, 2014 $3,084,370 $2,100,590 Accounts receivable, net: December 31, 2014 279,835 344,390 December 31, 2013 209,952 306,878 Required: 1. Calculate the accounts receivable turnover ratios for both companies for the most recent year. Assume all sales are on credit. Round your answers to 2 decimal places. Under Armour fill in the blank 1 times Columbia Sportswear fill in the blank 2 times 2. Calculate the average length of time it takes each company to collect its accounts receivable. Use 360 days and round intermediate calculations to 2 decimal places and final answers to the nearest day. Under Armour fill in the blank 3 days Columbia Sportswear fill in the blank 4 days
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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Comparing Two Companies in the Same Industry: Under Armour and Columbia Sportswear
The following information is available from the financial statements included in Form 10-K for fiscal years 2014 and 2013 for Under Armour, Inc. and Columbia Sportswear Company (in thousands of dollars):
Under Armour, Inc. |
Columbia Sportswear Company | |
| Net revenues (Net sales for Under Armour, Inc. & Columbia Sportswear) for the year ended December 31, 2014 | $3,084,370 | $2,100,590 |
| Accounts receivable, net: | ||
| December 31, 2014 | 279,835 | 344,390 |
| December 31, 2013 | 209,952 | 306,878 |
Required:
1. Calculate the accounts receivable turnover ratios for both companies for the most recent year. Assume all sales are on credit. Round your answers to 2 decimal places.
| Under Armour | fill in the blank 1 times |
| Columbia Sportswear | fill in the blank 2 times |
2. Calculate the average length of time it takes each company to collect its accounts receivable. Use 360 days and round intermediate calculations to 2 decimal places and final answers to the nearest day.
| Under Armour | fill in the blank 3 days |
| Columbia Sportswear | fill in the blank 4 days |
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