Please answer everything asap 7. Purchases during the period was $2,700,000. Average accounts payable amounted to 150,000.Compute for accounts payable turnover.Compute for average payment period.8. Presented below are the Statements of Financial Position of Vickie Merchandising, for the pasttwo calendar years, ending 2013 and 2014. Vickie is on the process of analyzing its financialstatements in order to ascertain changes in each of its account balances. Vickie would want toidentify account balances whose changes are worth investigating.CashAssetsMarketable SecuritiesAccounts ReceivableMerchandise InventoryPrepaid ExpensesTotal Current Assets.Property, Plant, and Equipment (net)Total AssetsVickie MerchandisingStatements of Financial PositionDecember 31Liabilities and Owner's EquityAccounts PayableSalaries PayableUtilities PayableTaxes PayableTotal Current LiabilitiesNotes Payable (due 2016)Total LiabilitiesOwner, CapitalTotal Liabilities and Owner's Equity2014℗ 125,00045,00085,00050,0004,000℗ 309,000450,000P 759,00030,00020,00010,00015,000℗ 75,000300,000℗ 375,000384,000℗ 759,0002013112,00040,00077,00045,0002,000℗ 276,500300,000P 576,500℗ 18,50014,0008,00015,000℗ 55,000300,000355,000221,000℗ 576,500Prepare a common size statement of financial position for Vickie Merchandising, for both2013 and 2014. Analyze the changes in each account and comment if Vickie would needto further investigate on the changes of that account.

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Description: Please answer everything asap 7. Purchases during the period was $2,700,000. Average accounts payable amounted to 150,000.Compute for accounts payable turnover.Compute for average payment period.8. Presented below are the Statements of Financial Posi

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7. Purchases during the period was $2,700,000. Average accounts payable amounted to $150,000. Compute for accounts payable turnover. Compute for average payment period. ● Procopted bal

Managerial Accounting: The Cornerstone of Business Decision-Making

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ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 56P: The following selected information is taken from the financial statements of Arnn Company for its...

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The following selected information is taken from the financial statements of Arnn Company for its most recent year of operations: During the year, Arnn had net sales of 2.45 million. The cost of goods sold was 1.3 million. Required: Note: Round all answers to two decimal places. 1. Compute the current ratio. 2. Compute the quick or acid-test ratio. 3. Compute the accounts receivable turnover ratio. 4. Compute the accounts receivable turnover in days. 5. Compute the inventory turnover ratio. 6. Compute the inventory turnover in days.
Using the following select financial statement information from Mover Supply Depot, compute the accounts receivable turnover ratios for 2018 and 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Mover Supply Depot if the industry average is 4 times?
Winterwear Clothiers reported the following selected items at April 30, 2025 (last year's-2024-amounts also given as needed): View the financial data. Compute Winterwear Clothiers' (a) acid-test ratio, (b) accounts receivable turnover ratio, and (c) days' sales in receivables for the year ending April 30, 2025. Evaluate each ratio value as strong or weak. Winterwear Clothiers sells on terms of net 30. (Round days' sales in receivables to a whole number.) (Ignore leap-years, using a 365-day where needed.) (a) Compute Winterwear Clothiers' acid-test ratio. (Round your final answer to two decimal places. Abbreviation used: Avg. = Average; Invest. = Investment; Liab. = Liabilities; Merch. = Merchandise; Receiv. = Receivable; Rev. = Revenue.) + + + + Financial Data = Acid-test ratio = Accounts Payable 320,000 Accounts Receivable, net: Cash 260,000 April 30, 2025 $ 270,000 Merchandise Inventory: April 30, 2024 170,000 April 30, 2025 290,000 Cost of Goods Sold 1,150,000 April 30, 2024 200,000…
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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?
1))For the years ended December 31, 2018 of your analysis, assume all sales are on credit and then compute the following: · (a) collection period, · (b) accounts receivable turnover, · (c) inventory turnover, and · (d) days' sales in inventory. · (e) Based on your estimates, comment on the changes in the ratios from 2018 year by drawing conclusion regarding efficiency in managing inventory and in collecting receivables (Note: Comment not more than 10 lines). 2))Provide your recommendations for improving the financial condition of your company. (Note: Comment not more than 10 lines).
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
Bold Company’s 2016 income statement reported total credit revenue of $250,000. Bold’s accounts receivable balance on January 1, 2016 was $30,000, and its December 31, 2016 accounts receivable balance was $10,000. Bold’s accounts payable balance on January 1, 2016 was $25,000, and its December 31, 2016 accounts payable balance was $35,000. How much did Bold collect from customers during 2016?
Millennial Manufacturing has net credit sales for 2018 in the amount of $1,453,630, beginning accounts receivable balance of $590,900, and an ending accounts receivable balance of $626,450. A. Compute the accounts receivable turnover ratio and the number of days' sales in receivables ratio for 2018. Round answers to two decimal places. B. What do the outcomes tell a potential investor about Millennial Manufacturing if industry average is 2.6 times and number of day’s sales ratio is 180 days? a. Millennial Manufacturing collects its accounts more quickly than its competitors. b. A lender may favour Millennial Manufacturing over its competitors because of its faster collection period. c. Without prior years’ data it is hard to tell if Millennial Manufacturing is really more efficient than its competitors. d. All of the above statements may be correct.
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