Homework Answers
Answer c. 70 days
Cash Conversion Cycle = Days Inventory outstanding + Days receivables outstanding - Days payables outstanding
Cash conversion cycle = 60 days + 45 days - 35 days = 70 days
Add Answer to:
38. Inmoo Company's average age of accounts receivable is 45 days, the average age of accounts...
Maggie's Maple Treats average age of accounts receivable is 45 days, the average age of accounts...
Maggie's Maple Treats average age of accounts receivable is 45 days, the average age of accounts payable is 40 days, and the average age of inventory is 69 days. Assuming a 365-day year, what is the length of its cash conversion cycle?
Inmoo Company's average age of accounts receivable is 68 days, the average age of accounts payable...
Inmoo Company's average age of accounts receivable is 68 days, the average age of accounts payable is 40 days, and the average age of inventory is 69 days. Assuming a 365-day year, what is the length of its cash conversion cycle? a. 104 days b. 113 days c. 97 days d. 76 days e. 114 days
6. For the Cook County Company, the average age of accounts receivable is 60 days, the...
6. For the Cook County Company, the average age of accounts receivable is 60 days, the average age of accounts payable is 45 days, and the average age of inventory is 72 days. Assuming a 365-day year, what is the length of the fim's cash conversion cycle?
A firm takes 30 days to collect its accounts receivables and 45 days to pay its...
A firm takes 30 days to collect its accounts receivables and 45 days to pay its accounts payable. Its average age of inventory is 75 days. Its annual sales are $800,000 with COGS of $350,000 and purchases of $220,000. 1. What is the firm's cash conversion cycle (CCC)? What does it measure? 2. What is the amount of resources tied up in the CCC in each of the following areas: a Inventory b Accounts receivable C Accounts payable Cash 3...
Consider the following data from a company's 95-day operating cycle: Payable days: 8 Receivable days: 25...
Consider the following data from a company's 95-day operating cycle: Payable days: 8 Receivable days: 25 Inventory days: 70 What is the cash conversion cycle for this company? 47 87 53 103
Average cash $56,250 Average accounts payable $540,000 Average accounts receivable $1,350,000 Average inventories $675,000 Average cash...
Average cash $56,250 Average accounts payable $540,000 Average accounts receivable $1,350,000 Average inventories $675,000 Average cash sales $4,500,000 Average credit sales $13,500,000 Average cost of goods sold $8,100,000 Average number of days per year 365 days Inventory conversion period 30.42 days Payables deferral period 1. days A. 24 B. 24.33 C. 10.95.? Receivables conversion period 2. days A 36.5 B. 36 C. 27.38 ? Cash conversion cycle 3. days A. 54.75 B. 91.25 C. 42.59 ?
Value options Inventory conversion period: 56.77 days 43.26 days 45.96 days 131.70 days Average collection period:...
Value options
Inventory conversion period:
56.77 days
43.26 days
45.96 days
131.70 days
Average collection period:
34.20 days
23.32 days
86.55 days
29.54 days
Payables deferral period:
62.57 days
49.53 days
54.75 days
127.00 days
Cash conversion cycle:
31.37 days
91.25 days
29.72 days
28.07 days
Then the multiple choices
1. Cash conversion cydle AaAa Consider the case of Green Melon Electronics Company: Green Melon Electronics Company is a mature firm that has a stable flow of business. The following...
Cash conversion cycle American Products is concerned about managing cash efficiently. On the average, inventories have...
Cash conversion cycle American Products is concerned about managing cash efficiently. On the average, inventories have an age of 90 days, and accounts receivable are collected in 60 days. Accounts payable are paid approximately 30 days after they arise. The firm has annual sales of about $30 million. Assume there is no difference in the investment per dollar of sales in inventory, receivables, and payables; and, a 365-day year. a. Calculate the firm
QUESTION 5: Torrence Inc. has the following data Capital budget % Debt Net income (NI) a)...
QUESTION 5: Torrence Inc. has the following data Capital budget % Debt Net income (NI) a) If Torrence Ine, uses the rest $1.000.000 60% ence Inc. uses the residual dividend model how much total dividends in S) will it pay out and what is its dividend payout ratio? S625,000 (8 marks) the Torrence follow the 40% constant payout dividend policy, does it have sufficient retained earnings to finance the equity portion of its capital budget? (7 marks) [Total: 15 marks...
Annual sales $9,700,000 Cost of goods sold $7,275,000 Inventory $3,200,000 Accounts receivable $1,800,000 Accounts payable $2,400,000...
Annual sales $9,700,000 Cost of goods sold $7,275,000 Inventory $3,200,000 Accounts receivable $1,800,000 Accounts payable $2,400,000 Blue Ostrich's CFO is interested in determining the length of time funds are tied up in working capital. Use the information in the preceding table to complete the following table. (Note: Use 365 days as the length of a year in all calculations, and round all values to two decimal places.) Value Inventory conversion period Average collection period Payables deferral period Cash conversion cycle...
6. For the Cook County Company, the average age of accounts receivable is 60 days, the average age of accounts payable is 45 days, and the average age of inventory is 72 days. Assuming a 365-day year, what is the length of the fim's cash conversion cycle?
A firm takes 30 days to collect its accounts receivables and 45 days to pay its accounts payable. Its average age of inventory is 75 days. Its annual sales are $800,000 with COGS of $350,000 and purchases of $220,000. 1. What is the firm's cash conversion cycle (CCC)? What does it measure? 2. What is the amount of resources tied up in the CCC in each of the following areas: a Inventory b Accounts receivable C Accounts payable Cash 3...
Value options
Inventory conversion period:
56.77 days
43.26 days
45.96 days
131.70 days
Average collection period:
34.20 days
23.32 days
86.55 days
29.54 days
Payables deferral period:
62.57 days
49.53 days
54.75 days
127.00 days
Cash conversion cycle:
31.37 days
91.25 days
29.72 days
28.07 days
Then the multiple choices
1. Cash conversion cydle AaAa Consider the case of Green Melon Electronics Company: Green Melon Electronics Company is a mature firm that has a stable flow of business. The following...
QUESTION 5: Torrence Inc. has the following data Capital budget % Debt Net income (NI) a) If Torrence Ine, uses the rest $1.000.000 60% ence Inc. uses the residual dividend model how much total dividends in S) will it pay out and what is its dividend payout ratio? S625,000 (8 marks) the Torrence follow the 40% constant payout dividend policy, does it have sufficient retained earnings to finance the equity portion of its capital budget? (7 marks) [Total: 15 marks...
Annual sales $9,700,000 Cost of goods sold $7,275,000 Inventory $3,200,000 Accounts receivable $1,800,000 Accounts payable $2,400,000 Blue Ostrich's CFO is interested in determining the length of time funds are tied up in working capital. Use the information in the preceding table to complete the following table. (Note: Use 365 days as the length of a year in all calculations, and round all values to two decimal places.) Value Inventory conversion period Average collection period Payables deferral period Cash conversion cycle...
Most questions answered within 3 hours.
-
An explosion breaks a 20.0-kg object into three parts. The
object is initially moving at a...
asked 17 minutes ago -
Calculate the approximate number of residues of Rubisco, which
is involved in carbon fixation in plants,...
asked 1 hour ago -
Other decisions about scientific claims can have a much broader
impact.ENERGYarrow-10x10.png, environment, health, security - all...
asked 2 hours ago -
I need to write a research paper and work cited about this
topic: The United States...
asked 2 hours ago -
Hello! I was wondering if I could have some help?
If the vapor pressure of carvone...
asked 2 hours ago -
An economist wants to estimate the mean per capita income (in
thousands of dollars) for a...
asked 3 hours ago -
What would be the input/output characteristic of a circuit
obtained by putting two of your 2's-complementers...
asked 3 hours ago -
In Drosophila, the transition from the syncytial blastoderm
stage to the cellular blastoderm stage is a...
asked 3 hours ago -
Project management question:
Name 3 different types of resources (hint: humans are one
type)
asked 3 hours ago -
Consider the following reaction: C 2H 2( g) + 2H 2( g) C 2H 6(
g)...
asked 4 hours ago -
Consider a 1.0 L buffer containing 0.092 mol L-1 HCOOH and 0.100
mol L-1 HCOO-. What...
asked 4 hours ago -
Koch Realty has owned a vacant land with a FMV of
$775,000 and an adjusted basis...
asked 4 hours ago