May I ask for a solution and explanation to the problem for a better understanding. Thank you!19. What is the average sales period for Bittergourd? a. 24 daysb. 25 daysc. 26 daysd. 27 days BITTERGOURD CompanyIncome StatementFor the Year Ended December 31, 2014(in thousands of pesos)P 2,000(1,400)P 600(240)Р 360(50)P 310(93)P 217Sales (all on account).Cost of goods sold..Gross margin..Operating expenses..Net operating income..Interest expense.Net income before taxes.Income taxes (30%)..Net income.BITTERGOURD CompanyStatement of Financial PositionDecember 31, 2014 and 2013(in thousands of pesos)Assets20142013Current assets:Р 140Р 130Cash and Cash equivalents..Accounts receivable, net.120110110Inventory..Prepaid expenses.1005040Total current assets.P 410P 390Noncurrent assets:Plant & equipment, net.1,8401,830Total assets..P2,250P2,220Liabilities and Shareholders' EquityCurrent liabilities:Accounts payable.P 100P 100Accrued liabilities.Notes payable, short term.8080210P 390230Total current liabilities..P 410Noncurrent liabilities:Bonds payable .460500Total liabilities .P 850P 910Shareholders' equity:Preference share capital,P5 par, 5%.Ordinary share capital, P10 parShare premium - ordinary..Accumulated profits.Total shareholders' equity..Total liabilities & shareholders' equity.Р 100P 100200200260260840750P1,400P2,250P1,310P2,220Dividends during 2014 totaled P127,000, of which P5,000 were preference dividends. The market price of anordinary share on December 31, 2014 was P140.

Given: Opening inventory =110Closing inventory =100Cost of goods sold =1400

Answered: What is the average sales period for…

Business

Accounting

What is the average sales period for Bittergourd? a. 24 days b. 25 days c. 26 days d. 27 days

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: The forcasted demand using Exponential (a-0.72) in June given the folwoing Apri 5200 5000 Sales…

A: Budgeting is the very important step in management and cost accounting as many decisions are based…

Q: Required information [The following information applies to the questions displayed below.] Data for…

A: The contribution margin is calculated as the difference between the sales and variable cost. The net…

Q: YEAR SALES WEIGHTS 1 $1,079,864 0.1 2…

A: Sales or revenue denote the inflows of cash and cash equivalent through conduct of general…

Q: Ch. 8 Homework 2 Please solve and explain the following problem Croy Inc. has the following…

A: Budget production cost as follows: Formulas:

Q: Question 1 ABC company faces a monthly demand of 800 for a certain type of product. Currently they…

A: The question is related to Inventory Management. The Economic Order Quantity is that level of…

Q: Question 1 The following sales forecast was developed by the sales team at Broadworld…

A: Budgeting: It is a process of planning the work to be performed. Under this process a formal plan is…

Q: Assume that factors that may change demand but are not below do not change during the four months.…

A: The first part of the question asks to calculate the price elasticity of demand for apples. We can…

Q: Current Attempt in Progress Bramble Industries expects credit sales for January, February, and March…

A: It is a financial plan that estimates the amount and timing of cash inflows from various sources,…

Q: Botanic Choice sells natural supplements to customers with an unconditional sales return if they are…

A: Journal entries are the records that an accounting system is constantly of business transactions. It…

Q: A company's sales in 2010 were P300,000 and in 2011 were P351,000. Using 2010 as the base year, the…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Cobra Company provided you with the following sales forecast for the first four months of the coming…

A: Sales are made on cash and credit basis. The amount to be collected from sales made on credit basis…

Q: 826 XVfx A B C D E F G H 1 K L M N 0 P 2 Product Product 4 3 From: Feb Question #1 (Part A) - Create…

A: The objective of the question is to create a function that uses the MATCH, INDEX, and OFFSET…

Q: Fill in the blanks

A: A sale in an activities which the purchaser obtains physical or digital products, or commodities in…

Q: Sage Co. always holds 4% of the next month's sales in ending inventory. Prepare a production budget…

A: Production budget is prepared to know how much production should be done in order to support the…

Q: 2. [EXCEL] Operating cycle: Lilly’s Bakery distributes its products to more than 75 restaurants and…

Q: QUESTION 34 Fenn Stores, Inc. had sales of $9,000,000 during December, year 2. Experience has shown…

A: Net sales refers to the company’s gross sales minus sales returns, allowances and discounts. It…

Q: Milo Company manufactures beach umbrellas. The company is preparing detailed budgets for the third…

A: *Since you have posted multiple subparts. I can solve only 3 subparts at a time. So please post the…

Q: All That Remains Products has projected sales for next year of. Q1 Q2 Q3 04 $ 94,320 Sales $ 76,700…

A: A short-term debt payment called accounts payable must be made in order to stay in good standing.…

Q: The following are the ledgers of XYZ Company for the year ended December 31, 2017. Net Sales…

A: Financial Ratio are one of the tool to Analysis Financial Statement. Income Statement of XYZ Company…

Q: B. Problem 1. Galaxy Lighting Company manufactures and sells lighting fixtures. Estimated sales for…

A: The question is related to Budgetory control and is of Cash budget. The details are given. Required…

Q: Simpson Glove Company has made the following sales projections for the next six months. All sales…

A: Cash receipts is the part of cash budget prepared by the management for estimating the cash to be…

Q: Financial 10.3 Supply and Demand 1. A company manufactures and sells cheese graters for $9 wholesale…

A: Suggested selling price will be the aggregate of wholesale price and markupSuggested selling price…

Q: Why is $118.80 the answer?

A: The objective of the question is to calculate the total amount that MM&M should pay for the…

Q: You are reading a comparative income statement for Gaudy's Gourmet Dog Dinners. f Gaudy's expenses…

A: The comparative analysis is performed to compare the changes in the different accounts balances…

Q: Question 36 A company has daily purchases of $10,000 from its supplier. The supplier offers trade…

A: Hi! Thank you for the question, As per the honor code, we are allowed to answer three sub-parts at a…

Q: The controller of Blossom Company Sales Production in units January $33,000 1,100 tes ales and…

A: Budgeting: It is a process of planning the work to be performed. Under this process a formal plan is…

Q: Ch. 8 Question 5 (a) Please solve and explain the following problem. Shadee Corp. expects to sell…

A: Budgeted direct labor cost is used in estimating number of labor hours which would be needed in…

Q: QwikStore has generated their daily sales records on the results of selling their 20 oz. "Awesome…

A: Expected value One frequently used financial notion is expected value. It denotes the expected worth…

Q: 97,300 feet ? feet June 30 September 30 e. Gilden costs $0.60 per foot. One-half of a month's…

A: A budget is a forecast of revenue and expenditures for a certain future period of time that is…

Q: n 1 The firm's average collection period ACP is 39 days. Purchases are 75% of sales and are made…

A: As there are multiple questions are ther, but as per answering guidelines we do only first one.

Q: Hello tutor solve this problem

A: To determine Mercer's total cash receipts for the month of March, we need to consider both the cash…

Q: Cost of Trade Credit A large retailer obtains merchandise under the credit terms of 1/15, net 40,…

A: When credit purchases are made, the seller will define the payment terms and allows for a discount…

Q: Ed's Waterbeds has made the following sales projections for the next six months. All sales are…

A: Solution:JanuaryFebruaryMarchAprilMayJuneJulyAugustSales$46,000$45,000$43,000$49,000$38,000$47,000$5…

Q: QwikStore has kept their daily sales records on their 20 oz. "Awesome Drink" across the last 400…

A: Here,

Q: 22 [Question text] He & She Bhd has an inventory turnover rate of 6, a payables turnover rate of…

A: Days sales of inventory = 360/inventory turnover rate = 360/6 = 60 days…

Q: Shadee Corporation expects to sell 520 sun shades in May and 350 in June. Each shades sells for $18.…

A: Cash receipt budget :— This budget is prepared to estimate the collection of cash sales and credit…

Q: LIon 24 The terms '2/10, n/30' appearing on an invoice for the sale/purchase of inventories means…

A: "Since you have asked multiple questions, we will solve only first question for you. If you want any…

Q: A company's sales in 2010 were P300,00O and in 2011 were P351,000. Using 2010 as the base year, the…

A: "Since you have asked multiple questions, we will solve the first question for you". If you want any…

Concept explainers

Conversion Cycle

Conversion cycle is also known as cash cycle or net operating cycle. Conversion cycle refers to how much time a company takes to turn its investments which is done from stock or any other financial resources into cash flows from sales.

Question

May I ask for a solution and explanation to the problem for a better understanding. Thank you!

19. What is the average sales period for Bittergourd?

a. 24 days

b. 25 days

c. 26 days

d. 27 days

BITTERGOURD Company
Income Statement
For the Year Ended December 31, 2014
(in thousands of pesos)
P 2,000
(1,400)
P 600
(240)
Р 360
(50)
P 310
(93)
P 217
Sales (all on account).
Cost of goods sold..
Gross margin..
Operating expenses..
Net operating income..
Interest expense.
Net income before taxes.
Income taxes (30%)..
Net income.
BITTERGOURD Company
Statement of Financial Position
December 31, 2014 and 2013
(in thousands of pesos)
Assets
2014
2013
Current assets:
Р 140
Р 130
Cash and Cash equivalents..
Accounts receivable, net.
120
110
110
Inventory..
Prepaid expenses.
100
50
40
Total current assets.
P 410
P 390
Noncurrent assets:
Plant & equipment, net.
1,840
1,830
Total assets..
P2,250
P2,220
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable.
P 100
P 100
Accrued liabilities.
Notes payable, short term.
80
80
210
P 390
230
Total current liabilities..
P 410
Noncurrent liabilities:
Bonds payable .
460
500
Total liabilities .
P 850
P 910
Shareholders' equity:
Preference share capital,P5 par, 5%.
Ordinary share capital, P10 par
Share premium - ordinary..
Accumulated profits.
Total shareholders' equity..
Total liabilities & shareholders' equity.
Р 100
P 100
200
200
260
260
840
750
P1,400
P2,250
P1,310
P2,220
Dividends during 2014 totaled P127,000, of which P5,000 were preference dividends. The market price of an
ordinary share on December 31, 2014 was P140.

Expert Solution

This question has been solved!

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

SEE SOLUTION Check out a sample Q&A here

Step 1

Step 2

Step 3

Step 4

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Please do not give solution in image format thanku
21-Al Raffa Shopping Center purchased goods from Al Muna Shopping Center for OMR 9700. Which of the following is the discount period for the credit terms of 1/10, n/30 is: a. 30 days b. 0 day c. 10 days d. 1 day
Please do not give solution in image format thanku
Fast pls solve this question correctly in 5 min pls I will give u like for sure Savtk Hanse, Inc., has a cash cycle of 45 days, an operating cycle of 66 days, and an inventory period of 28.5 days. The company reported cost of goods sold in the amount of $345,000, and credit sales were $568,000. What is the company’s average balance in accounts payable and accounts receivable? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
22. Subject :- Accounting
QUESTION 2 Answer the questions from the information provided. 2.1 Use the information provided below to calculate the number of units of Product Tex that must be produced for July and August. INFORMATION 2.2 2.3 The estimated sales volume of Product Tex is 25 000 units for June, 21 000 units for July, 30 000 units for August and 36 000 units for September. The policy of management is to maintain an ending finished goods inventory each month equal to 20% of the current month's budgeted sales and 30% of the following month's budgeted sales. Study the information provided below and calculate the expected value of closing inventory as at 31 December 2022, if the FIFO method of inventory valuation is used. INFORMATION The following information was supplied by Sunbeam Manufacturers for 2022 in respect of its finished goods: Inventory on 01 January Cost of production of finished goods manufactured Cost of goods sold Sales value of the goods sold Use the information provided below to…
Please do not give solution in image format thanku
Plz solve within 30min I vill give definitely upvote and vill give positive feedback
Problem 3 bod di due ull PRINCESS Processing Company has two products. The actual sales data for the past two years are as follows: oghud nommon zabivorq sogbed T nomexingmo 2019 2020 1 25,000 P40.00 27,000 42.00 2130,000 33,000 singhaud A bew serval pinnal PRINCESS expects that the percentage of increase in sales volume in 2020 against the 2019 performance will remain in 2021. However, the business predicts that the selling price in 2020 will be the same the following year. und si sillo soment o svolge ar to noraqiteq adTe here haver Product ABasis Product CD Units Unit price Units Unit Price nosoboqarltose cortad Required: Prepare the sales budget in 2021. 115 no P60.00 63.00 1990 tdi 15ybod A luore no bound bound Joghud bola
Question A All That Remains Products has projected sales for next year of: Q1 Q2 Q3 Q4 Sales $ 77,300 $ 80,750 $ 87,150 $ 95,040 The company places orders each quarter that are 65 percent of the following quarter's sales and has a 60-day payables period. What is the accounts payable balance at the end of the third quarter? Full explain this question and text typing work only We should answer our question within 2 hours takes more time then we will reduce Rating Dont ignore this line.
PROBLEM #2 Novex Company keeps careful track of the time to complete customer orders. During the most recent quarter, the following average times were recorded for each unit or order: Days . 17.0 Wait time..... Inspection time........0.4 Process time ..........2.0 Move time ..... Queue time.... .5.0 Goods are shipped as soon as production is completed. ..0.6 Required: 1. Compute the throughput time. 2. Compute the manufacturing cycle efficiency (MCE). 3. What percentage of the production time is spent in non-value-added activities? 4. Compute the delivery cycle time.
4.[EXCEL] Operating cycle: Lilly’s Bakery distributes its products to more than 75 restaurants and delis. The company's average collection period is 27 days, and it keeps its inventory for an average of four days. What is Lilly's operating cycle?