Income statement data: Sales $6,800 Cost of goods sold 6,000 Balance sheet data: Inventory $ 670 Accounts receivable 290 Accounts payable 450 Calculate the cash conversion cycle for the above firm (Use 365 days in a year. Do not round intermediate calculations. Round answers to 1 decimal place.)

Income statement data: Sales $6,800 Cost of goods sold 6,000 Balance sheet data: Inventory $ 670 Accounts receivable 290 Accounts payable 450 Calculate the cash conversion cycle for the above firm (Use 365 days in a year. Do not round intermediate calculations. Round answers to 1 decimal place.)

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter11: The Statement Of Cash Flows

Section: Chapter Questions

Problem 12MCQ: Smoltz Company reported the following information for the current year: cost of goods sold,...

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Question

Can you please give correct answer for this accounting question?

Income statement data:
Sales
$6,800
Cost of goods sold 6,000
Balance sheet data:
Inventory
$ 670
Accounts receivable 290
Accounts payable
450
Calculate the cash conversion cycle for the above firm (Use
365 days in a year. Do not round intermediate calculations.
Round answers to 1 decimal place.)

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General Accounting
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BALANCE SHEET ANALYSIS Complete the balance sheet and sales information using the following financial data: Total assets turnover: 1.2x Days sales outstanding: 36 days Inventory turnover ratio: 7x Fixed assets turnover: 2.5x Current ratio: 1.5x Gross profit margin on sales: (Sales- Cost of goods sold)/Sales = 20% Calculation is based on a 365-day year. Do not round intermediate calculations. Round your answer to the nearest cent. Balance Sheet Cash Accounts receivable. Inventories Fixed assets Total assets Sales $300,000 Current liabilities Long-term debt Common stock Retained earnings Total liabilities and equity Cost of goods sold 45,000 90,000
Complete the balance sheet and sales information using the following financial data: Total assets turnover: 1x Days sales outstanding: 73.0 days² Inventory turnover ratio: 3.75x Fixed assets turnover: 3.0x Current ratio: 2.5x Gross profit margin on sales: (Sales - Cost of goods sold)/Sales = 35% *Calculation is based on a 365-day year. Do not round intermediate calculations. Round your answers to the nearest dollar. Balance Sheet Cash Accounts receivable Inventories Fixed assets Total assets Sales $ $ $360,000 Current liabilities Long-term debt Common stock Retained earnings Total liabilities and equity Cost of goods sold $ $ $ 90,000 90,000
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Compute for Receivable Collection Period, Inventory Conversion Period, Payables Deferral period and Cash Conversion Cycle of Company ABS for the following data Ave. Receivables P1,850,450 659,800 Net Credit Sales, Cost of Sales 3,180.430 1,740.200 Ave. Inventory Ave. Payables 520,300 Compare Company ABS's Cash Conversion Cycle to Company CBN which has 194 days of cC. Which company has better conversion cycle and why?
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