None You are provided the following working capital information for the Ridge Company:AccountInventory$$12,890Accounts receivable 12,800Accounts payable12,670Net sales$124,58999,630Cost of goods soldWhat is the cash conversion cycle for Ridge Company?a. 38.3 daysb. 129.9 daysc. 83.5 daysd. 46.4 days

Step 1: Computation of days in inventory outstandingDays inventory outstanding (DIO)= (Inventory /…

Answered: You are provided the following working…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Want Answer please provide
Give correct answer for this question
I want the Correct answer of what is the right option
Need Correct option
at Peacier DC-bit anac Help acte 11.po cnapte 10 e e cise. 72.8% O 57 64 (Cash conversion cycle) Sims Electric Corp. has been striving for the last five years to improve its management of working capital. Historical data for the firm's sales, accounts receivable, inventories, and accounts payable follow: JAN- 05 JAN- 06 JAN- 07 JAN- 08 JAN- 09 5296 7759 12327 Sales-Net 3475 2873 Receivable- Total 411 538 726 903 1486 Accounts Payable 283 447 466 1040 1643 Inventories 220 293 429 251 233 a. Calculate Sims' days of sales outstanding and days of sales in inventory for each of the five years. What has Sims accomplished in its attempts to better manage its investments in accounts receivable and inventory? b. Calculate Sims' cash conversion cycle for each of the five years. Evaluate Sims' overall management of its working eapital. O Type here to search 82% 27°C
FMT Trading Inc. has the following financial data: Annual sales 10,000,000Cost of goods sold 6,000,000Inventory 2,547,945Accounts receivable 1,643,836Accounts payable 1,200,000 a. What is the firm’s cash conversion cycle?b. Provide interpretations of the cash conversion cycle period of the firm.
Provided the following information: Sales =$1,440,000, Cost of Goods Sold= $1,100,000, Inventory=$200,000, Receivables=$160,000, Payables=S100,000 and there are 365 days in a year. What is the cash conversion cycle for the firm? a. 113.55 Days b. 77.05 Days c. 150.05 Days d. 73 Days e. None of the above
Direct Furnishings Inc. has the following data:Annual sales $10,000,000Cost of goods sold 6,000,000Inventory 2,547,945Accounts receivable 1,643,836Accounts payable 1,200,000What is the firm’s cash conversion cycle?
Whaley & Whaley has the following data. What is the firm's cash conversion cycle? Inventory conversion period = Average collection period = Payables deferral period = O a. 37 days O b. 31 days O c. 41 days Od: 45 days O e. 34 days 41 days 31 days 38 days
I need questions answers accounting
What is the cash conversion cycle for ABC corporation using the following information: sales: 10,000,000 cost of goods:7, 500,000 accounts receivable: 1, 232, 877 inventory turnover ratio: 10 payable deferred period:40
Please provide correct answer accounting....

SEE MORE QUESTIONS

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

Financial and Managerial Accounting

Accounting

ISBN:

9781259726705

Author:

John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS