Horngren's Financial & Managerial Accounting, The Managerial Chapters (6th Edition)
6th Edition
ISBN: 9780134486857
Author: Tracie L. Miller-Nobles, Brenda L. Mattison, Ella Mae Matsumura
Publisher: PEARSON
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Chapter C, Problem 30E
1.
To determine
Compute the cash collections from customers.
2.
To determine
Compute the amount of cash payment for merchandise inventory.
3.
To determine
Compute the amount of cash payment of operating expenses.
4.
To determine
Compute the acquisition of property and equipment.
5.
To determine
Compute the amount of borrowings
6.
To determine
Compute the cash receipt from issuance of common stock
7.
To determine
Compute the payment of cash dividends.
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What is the amount of purchases under the cash basis on December 31, 2021?
Judon Corp. provides the following information from its annual report. Assume all revenues are credit sales. The cost of revenues can be used as an approximation of the company's purchases for the year.
Revenues $ 546,190
Cost of revenues $ 340,275
Inventories as of 31 January 2022 $44,064
Inventories as of 31 January 2021 $41,020
Accounts payable as at 31 January 2022 $58,600
Accounts payable as at 31 January 2021 $51,800
Accounts receivable as at 31 January 2022 $7,482
Accounts receivable as at 31 January 2021 $5,434
Compute the following financial ratios for Judon Corp for 2022
1. Account Receivable Turnover Ratio (Times)?
2. Collection Interval (DSO) / Days?
3. Inventory Turnover Ratio (Times) ?
4. Holding Interval (Days) ?
5. Account Payable Turnover Ratio (Times)?
6.Payment Interval (Days)?
7. Does Judon Corp need short-term financing?
8. Using the information provided, compute the change in operating working captial
Judon Corp. provides the following information from its annual report. Assume all revenues are credit sales. The cost of revenues can be used as an approximation of the company's purchases for the year.
Revenues $ 546,190
Cost of revenues $ 340,275
Inventories as of 31 January 2022 $44,064
Inventories as of 31 January 2021 $41,020
Accounts payable as at 31 January 2022 $58,600
Accounts payable as at 31 January 2021 $51,800
Accounts receivable as at 31 January 2022 $7,482
Accounts receivable as at 31 January 2021 $5,434
Compute the following financial ratios for Judon Corp for 2022
1. Account Receivable Turnover Ratio (Times)?
2. Collection Interval (DSO) / Days?
3. Inventory Turnover Ratio (Times) ?
4. Holding Interval (Days) ?
5. Account Payable Turnover Ratio (Times)?
6.Payment Interval (Days)?
7. Does Judon Corp need short-term financing?
Chapter C Solutions
Horngren's Financial & Managerial Accounting, The Managerial Chapters (6th Edition)
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