Dreamz Unlimited INC has accounts payable days of 30 , inventory days of 60 , and accounts receivable days of 35 . What is its Cash conversion cycle?
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- Find out the company's cash ratio which has cash of P7500, cash equivalents of P26,250, accounts receivables of P4,300. Its total current liabilities are P45,000. What are cash equivalents? Exe2.1Which of the following options indicate how quickly accounts receivables are converted into cash? Select one: a. Total assets turnover b. Days to collect accounts receivable c. Working capital d. Accounts receivable turnoverAn analyst gathers the following data for a firm: Sales: $1, 850 Cost of Goods Sold: $501 Inventory: $124 Accounts Receivables: $188 Accounts Payables: $153 Based on this information, calculate the firm's Operating Cash Conversion Cycle.
- . Which one of the following defines the cash cycle? A. Inventory period plus the accounts receivable period B. Inventory period plus the accounts payable period C. Operating cycle minus the inventory period D. Operating cycle minus the accounts payable period E. Operating cycle minus the accounts receivable periodSkysong, Inc. had credit sales of $1312000. The beginning accounts receivable balance was $135000 and the ending accounts receivable balance was $230000. Using the direct method of reporting cash flows from operating activities, what were the cash collections from customers during the period? $1312000. $1447000. $1217000. $1487000.The measure of a company’s ability to collect cash from its customers who purchase onaccount is thea. accounts payable turnover.b. cash conversion cycle.c. accounts receivable turnover.d. days’ payable outstanding.
- Matilda Company financial statement information has given in the following table.ItemBeginningEndingInventory17831965Accounts Payable25602820Accounts Receivables49204200Revenue12500Cost of sales9500Required:Based on the financial statement information above, calculate the operating and cash cycle.> ABC Inc. is preparing its cash flow statement under the direct method and has provided this information: Net credit sales $5,000,000 Accounts receivable, end of the year 1,500,000 Accounts receivable, beginning of the year 2,500,000 Purchases (on account) 4,000,000 Trade payable, end of the year 1,900,000 Trade payable, beginning of the year 2,000,000 Operating expenses 3,000,000 Accrued expenses, beginning of the year 500,000 Accrued expenses, end of the year 400,000 Depreciation on property, plant, and equipment 600,000 > Required: Prepare the operating activities section of cash flow statement under the direct method.(1) Use the information below to compute the days in the cash conversion cycle for each company. (2) Which company is more effective at managing cash based on this measure? Sparta Company Athens Company Days' sales in accounts receivable 52 65 Days' sales in inventory 30 34 Days' payable outstanding 37 42 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Use the information below to compute the number of days in the cash conversion cycle for each company. Cash conversion cycle Sparta Company Athens Company > Required 1 Requiredn
- use the information in the income statement below to calculate operating cash flow (OCF). sales- $1,280 COGS- $620 Dep Exp- $180 EBIT- $480 Int Exp- $110 EBT- $370 Taxes- $78 NI- $292Claculate Delta Airlines' Cash COnversion Cycle based on the following information: Sales 289,729 COGS 196,476 Accounts Receivable 35,419 Inventory 4,248 Accounts Payable 56,2271. Based on the following financial statement information, what is the cash cycle? Interpret. (2 pts) Item Beginning Ending Inventory 15,000 25,000 Accounts receivable 14,500 10,000 Accounts payable 15,400 12,000 Credit sales RO 120,000 Cost of goods sold (COGS) 50% of credit sales
