100038050_HW15 - Problem 5 a) Q1 Beginning receivables...

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Problem 5 a) Q1 Q2 Q3 Q4 Beginning receivables $300 $400 $380 $470 Sales 800 760 940 870 Cash collections -700 -780 -850 -905 Ending receivables $400 $380 $470 $435 b) Q1 Q2 Q3 Q4 Beginning receivables $300 $533 $507 $627 Sales 800 760 940 870 Cash collections -567 -787 -820 -917 Ending receivables $533 $506 $627 $580 c) Q1 Q2 Q3 Q4 Beginning receivables $300 $267 $253 $313 Sales 800 760 940 870 Cash collections -833 -773 -880 -893 Ending receivables $267 $254 $313 $290 Problem 6 The inventory turnover and inventory period are: Inventory turnover = COGS/Average inventory Inventory turnover = $52,827/{[$8,413 + 10,158]/2} Inventory turnover = 5.6892 times Inventory period = 365 days/Inventory turnover Inventory period = 365 days/5.6892 Inventory period = 64.16 days The receivables turnover and receivables period are: Receivables turnover = Credit sales/Average receivables Receivables turnover = $67,312/{[$5,108 + 5,439]/2} Receivables turnover = 12.7642 times Receivables period = 365 days/Receivables turnover
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This note was uploaded on 04/24/2010 for the course BUS 306 taught by Professor Lomev during the Fall '09 term at American University in Bulgaria.

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100038050_HW15 - Problem 5 a) Q1 Beginning receivables...

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