NoteCurrent assets (R327 500) include accounts receivable of R168 000, inventoriesof R75 000 and cash of R84 500.Inventories as at 31 December 2019 amounted to R105 000.Current liabilities comprise accounts payable only.All purchases and sales are on credit.REQUIREDCalculate the following ratios. Where applicable, round off answers to two decimal places.Profit marginDebtor collection periodCreditor payment periodInventory turnoverReturn on own capitalicid test ratio QUESTION 2The condensed Statement of Comprehensive income, Statement of FinancialPosition and other financial information for Soori Limited appear below.INFORMATIONSoori LimitedStatement of comprehensive income for the year ended 31 December 2020Sales803 750Cost of sales(676 500)Gross profit127 250Operating expenses(92 250)Operating profit35 000Interest expense(12 250)Profit before tax22 750Income tax(9 100)Profit after tax13 650Statement of Financial Position as at 31 December 2020AssetsRNon-current assets146 250Current assets327 500Total assets473 750Equity and liabilitiesShareholders' equity196 650Non-current liabilities128 250Current liabilities148 850Total equity and liabilities473 750

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Answered: Note Current assets (R327 500) include…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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In 2020, HK company has net credit sales of 925,000$ for the year. It had a beginning account receivable (net) balance of 38,000$ and an ending account receivable (net) balance of 36,000$, account receivable turnover (average collection period) in days is O a. 14.4 b. 16.4 O C. 12 O d. 13
Berry Farms has an accounts receivable balance at the end of 2018 of $425,650. The net credit sales for the year are $924,123. The balance at the end of 2017 was $378,550. What is the number of days’ sales in receivables ratio for 2018 (round all answers to two decimal places)?
In 2020, HK company has net credit sales of 925,000S for the year. It had a beginning accountreceivable (net) balance of 38,000$ and an ending account receivable (net) balance of 36,000$. The HK company account receivable turnoveris a. 24.3 Ob. 25.7 Dic. 25 d. 22
Calculate the missing information on the revolving credit account. Interest is calculated on the unpaid or previous month's balance. PreviousBalance AnnualPercentageRate (APR) MonthlyPeriodicRate(as a %) FinanceCharge(in $) Purchasesand CashAdvances PaymentsandCredits NewBalance(in $) $1,026.61 1.75% $322.20 $300.00 Step 1 In the credit account statement below, the values of the annual percentage rate (APR), finance charge, and the new balance must be calculated. PreviousBalance AnnualPercentageRate (APR) MonthlyPeriodicRate(as a %) FinanceCharge(in $) Purchasesand CashAdvances PaymentsandCredits NewBalance(in $) $1,026.61 1.75% $322.20 $300.00 Recall that the annual percentage rate (APR) is tied to the monthly periodic rate by the following formula. monthly periodic rate = APR 12 By solving this equation for the APR, the known value for the monthly periodic rate can be substituted to calculate the APR. APR = monthly periodic rate ✕ 12 The…
Şection A ONE compulsory question Question 1 Yes Manufacturing Sendirian Berhad was organized five years ago and manufactures toys. Its most recent three years' balance sheets and income statements are reproduced below, YES MANUFACTURING SENDIRIAN BERHAD Balance Sheets 30 Junc, Year 5, Year 4 and Year 3 Year 5 Year 4 Year 3 Assets RM 12,000 183,000 142,000 5,000 160,000 RM 502,000 RM 16,000 60,000 52,000 4,000 70,000 RM 202,000 Cash RM 15,000 Receivabics (nct) Inventory Other current assets Plant and cquipment (net) 80,000 97,000 6,000 110,000 RM 308,000 Total asscts Liabilities and equity Accounts payablc Тах раyable Long-term liabilities Common stock, RM5 par value Retained earnings Total liabilities and cquity RM 147,800 30,000 120,000 110,000 94,200 RM502,000 RM 50,400 14,400 73,000 110,000 60,200 RM 308,000 RM 22,000 28,000 22,400 80,000 49,600 RM 202,000 YES MANUFACTURING SENDIRIAN BERHAD Consolidated Income Statements 30 Junc, Year 5, Year 4 and Year 3 Year 5 Year 4 Year 3 Net…
5. Blige Corporation had sales revenue of $12,000,000 in 2019 and $15,000,000 in 2020. Accounts receivable were $1,800,000 at the end of 2019 and $2,000,000 at the end of 2020. Required (a) Calculate the accounts receivable turnover ratio for 2019 and 2020. (b) Has the management of accounts receivable improved or worsened from 2019 to 2020? (c) What are the advantages and disadvantages of selling goods on credit? (d) How much cash did Blige Corporation collect from its customers in 2020? (e) If sales in 2021 were expected to be $22,500,000, what would you expect accounts receivable to be at the end of 2021? (f) Does a major increase in accounts receivable create any cash man- agement issues?
a. the Statement of Comprehensive Income for the year ended 31 December2020.
company reported credit sale of 6252900 and cost of goods sold of 3300000 for the year. the acconunt receivable balance at the beginning and end of the year were 516000 and 581000. receivables turnover ratio is 1. 10.8 2. 6.0 3. 11.4 4. 5.7
Jars Plus recorded $862,430 in credit sales for the year and $489,000 in accounts receivable. The uncollectible percentage is 2.3% for the income statement method, and 3.0% for the balance sheet method. A. Record the year-end adjusting entry for 2018 bad debt using the income statement method. B. Record the year-end adjusting entry for 2018 bad debt using the balance sheet method. C. Assume there was a previous debit balance in Allowance for Doubtful Accounts of $10,220, record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method. D. Assume there was a previous credit balance in Allowance for Doubtful Accounts of $5,470, record the year-end entry for bad debt using the income statement method, and then the entry using the balance sheet method. If an amount box does not require an entry, leave it blank. If required, round final answers to two decimal places. A. Dec. 31 Bad Debt Expense 88 88 88 38 88 88 Allowance for…
On January 1, 2021, the general ledger of ACME Fireworks includes the following account balances:Accounts Debit CreditCash $ 25,100Accounts Receivable 46,200Allowance for Uncollectible Accounts $ 4,200Inventory 20,000Land 46,000Equipment 15,000Accumulated Depreciation 1,500Accounts Payable 28,500Notes Payable (6%, due April 1, 2022) 50,000Common Stock 35,000Retained Earnings…
What is the: quick acid ratio for 2020 receivable turnover for 2020 average collection period for 2020
Current Ratio Data: Year 2018: 787.25% Year 2019: 951.50% Year 2020: 1105.00% Year 2021:1553.51% Year 2022:1540.03% Question: which of the following transactions and events would result in an improvement in Current Ratio in year 2020? receiving cash for unearned sales revenue a cash receipt from a customer for amounts owing on goods previously sold on credit acquiring cash proceeds from a 5-year interest-only bank loan A and B only A and C only B and C only All of the above None of the above

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