Exercise 22-19 Cash conversion cycle LO A4 ($ millions) Accounts payable, end of year $ 49,049 Accounts receivable, net, end of year 17,874 Inventory, end of year 4,855 Net sales 229,234 Cost of goods sold 141,048 Use the information above to compute the number of days in the cash conversion cycle for Apple. (Use 365 days in a year. Round calculations to the nearest whole day. Negative numbers should be indicated by a minus sign.)

Exercise 22-19 Cash conversion cycle LO A4 ($ millions) Accounts payable, end of year $ 49,049 Accounts receivable, net, end of year 17,874 Inventory, end of year 4,855 Net sales 229,234 Cost of goods sold 141,048 Use the information above to compute the number of days in the cash conversion cycle for Apple. (Use 365 days in a year. Round calculations to the nearest whole day. Negative numbers should be indicated by a minus sign.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Exercise 22-19 Cash conversion cycle LO A4

	($ millions)
Accounts payable, end of year	$	49,049
Accounts receivable, net, end of year		17,874
Inventory, end of year		4,855
Net sales		229,234
Cost of goods sold		141,048

Use the information above to compute the number of days in the cash conversion cycle for Apple. (Use 365 days in a year. Round calculations to the nearest whole day. Negative numbers should be indicated by a minus sign.)

Exercise 22-19 Cash conversion cycle LO A4
Accounts payable, end of year
Accounts receivable, net, end of year
Inventory, end of year
Net sales
($ millions)
$ 49,049
17,874
4,855
229,234
141,048
Cost of goods sold
Use the information above to compute the number of days in the cash conversion cycle for Apple. (Use 365 days in a year. Round
calculations to the nearest whole day. Negative numbers should be indicated by a minus sign.)
Cash conversion cycle
days

Definition Definition Money that the business will be receiving from its clients who have utilized the credit provided to buy its goods and services. The credit period typically lasts for a short term, lasting from a few days, a few months, to a year.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

Step 2

Step 3

Step 4

Trending now

This is a popular solution!

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Please do not give solution in image format thanku
QUESTION 31 You collect 80% of each month's sales in one month following the sale and 20%, the remainder, two months following the sale. If your sales are budgeted to be: February $120,000 March $140,000 What would be your amount for cash collected from customers in March? January $100,000 Click Save and Submit to save and submit. Click Save All Answers to save all answers. 1 Q A 2 W S 3 E D $ 4 R % olo LO 5 F MacBook Pro T < 6 V G E & ✓ lo Y 7 H B 00 U J N O
MC algo 20-6 Average Collection Period Silver Eyes, Incorporated, has an average collection period of 23.54 days and its average daily accounts receivable is $351,000. What are the company's annual credit sales assuming 365 days per year? Multiple Choice $8,262 540.00 $6,047153.78 $7306,025.73 $5,442 438.40 $6,349 511.47 k
Chapter 12 Homework, Question 5. Attached is a previous similar question. Please answer the new one with the same format :)
I started it but I'm not exactly sure I'm getting the corrected numbers. Can you help? there's more balance sheets for this problem but I've exceeded the photo limit for one question . Please let me know if I should add more on a separate question. Thank you.
Problem 19-8 Forecasting Payments (LO2) Paymore Products places orders for goods equal to 75% of its sales forecast in the next quarter. The sales forecasts for the next five quarters are as follows: Sales forecast First $ 396 Quarter 1 2 3 4 Quarter in Coming Year Second Third $ 333 $ 343 Calculate Paymore's cash payments to its suppliers assuming that two-thirds of the purchases are paid for in the quarter that they are purchased and one-third are paid in the following quarter. Note: Do not round intermediate calculations. Round your answers to the nearest whole dollar amount. X Answer is not complete. Payment S 75,000 X Fourth $ 391 Following Year First Quarter $ 391
mni.3
Raghubhai
question 2 The following information pertains to Monroe Company: Month Sales Purchases January $62,000 $33,000 February $84,000 $42,000 March $101,000 $61,000 Cash is collected from customers in the following manner: Month of the sale: 65%, with the remainder the month after. 40% of purchases are paid for in cash in the month of purchase, and the balance is paid the following month. Labor costs are 35% of sales. Other operating costs are $38,000 per month (including $10,000 of depreciation). Both of these are paid in the month incurred. The cash balance on March 1 is $8,000. A minimum cash balance of $6,000 is required at the end of the month. Money can be borrowed in multiples of $1,000. How much cash will be disbursed in total in March?
3
Problem 19-12 Short-Term Financing Plan (LO3) Paymore Products places orders for goods equal to 75% of its sales forecast in the next quarter which has been provided in the below table. Sales forecast First $ 444 (figures in $ millions) A. Cash requirements Cash required for operations Interest on bank loan Paymore's labor and administrative expenses are $78 per quarter and interest on long-term debt is $53 per quarter. Paymore's cash balance at the start of the first quarter is $40 and its minimum acceptable cash balance is $30. Assume that Paymore can borrow up to $349 from a line of credit at an interest rate of 2% per quarter. On average, one-third of sales are collected in the quarter that they are sold, and two-thirds are collected in the following quarter. Assume that sales in the last quarter of the previous year were $349. On average, two-thirds of purchases are paid for in the quarter that they are purchased, and one-third are paid in the following quarter. Prepare a…
None