Financial and Managerial Accounting
7th Edition
ISBN: 9781259726705
Author: John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher: McGraw-Hill Education
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Textbook Question
Chapter 15, Problem 1BTN
REPORTING IN ACTION P1
APPLE
BTN 15-1 Manufactures and merchandisers can apply just-in-time (JIT) to their inventory management. Apple wants to know the impact of a JIT inventory system on operating cash flows. Review Apple’s statement of cash flows in Appendix A to answer the following.
Required
1. Identify the impact on operating cash flows (increase or decrease) for changes in inventory levels (increase or decrease) for each of the three most recent years.
2. What impact would a JIT inventory system have on Apple’s operating income? Link the answer to your response for part 1.
3. Would the move to a JIT system have a one-time or recurring impact on operating cash flow?
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Students have asked these similar questions
Consider the following financial statement information:
Item
Beginning
Year
Ending
Inventory
€ 9.780
€ 11.380
€ 4.108
€
4.938
€ 7.636
€ 7.927
Accounts Receivable
Accounts Payable
Credit Sales
Cost of Goods Sold
€ 89.804
€ 56.384
Calculate the operating and cash cycles. How do you
interpret your answer?
Question 3Every company or organisation placed inventory as an important aspect for their businesses. Discuss the need to manage inventory in the monetary context.
answer guidelines
Discuss the need to manage inventory in monetary/financial aspects, below are some points.
• Inventory has value tagged to it and must be account for.
• Inventory is counted among a company’s current assets because it can be sold within a year.
• Inventory also shows up on the income statement in the form of cost of goods sold (cost that are incurred to make the product including direct labor, direct materials and overheads).
• Higher inventory carried means need to incur higher carrying cost
please provide detailed answer.minimum 700 words
Question Content Area
Based on the following data for the current year, what is the inventory turnover?
Sales on account during year
$507,225
Cost of goods sold during year
190,106
Accounts receivable, beginning of year
47,004
Accounts receivable, end of year
51,339
Inventory, beginning of year
36,189
Inventory, end of year
44,233
Do not round interim calculations. Round your final answer to one decimal place.
a.1.2
b.28.9
c.4.7
d.2.7
Chapter 15 Solutions
Financial and Managerial Accounting
Ch. 15 - Prob. 1MCQCh. 15 - A company uses direct labor costs to apply...Ch. 15 - Prob. 3MCQCh. 15 - Prob. 4MCQCh. 15 - Prob. 5MCQCh. 15 - Prob. 1DQCh. 15 - Some companies use labor cost to apply factory...Ch. 15 - Prob. 3DQCh. 15 - Prob. 4DQCh. 15 - Prob. 5DQ
Ch. 15 - Prob. 6DQCh. 15 - GOOGLE Google uses a “time ticket” for some...Ch. 15 - What events cause debits to be recorded in the...Ch. 15 - GOOGLE Google applies overhead to product costs....Ch. 15 - Prob. 10DQCh. 15 -
11. Why must a company use predetermined...Ch. 15 - Prob. 12DQCh. 15 - Prob. 13DQCh. 15 - Prob. 14DQCh. 15 - Prob. 1QSCh. 15 - Prob. 2QSCh. 15 - Prob. 3QSCh. 15 - Prob. 4QSCh. 15 - Prob. 5QSCh. 15 - Prob. 6QSCh. 15 - Prob. 7QSCh. 15 - Prob. 8QSCh. 15 - Prob. 9QSCh. 15 - Prob. 10QSCh. 15 - Prob. 11QSCh. 15 - Prob. 12QSCh. 15 - Prob. 13QSCh. 15 - Prob. 14QSCh. 15 - Job order productions C1 Refer to this chapter’s...Ch. 15 - Prob. 1ECh. 15 - Prob. 2ECh. 15 - Exercise 15-13 Analysis of cost flows C2
As of the...Ch. 15 - Prob. 4ECh. 15 - Prob. 5ECh. 15 - Prob. 6ECh. 15 - Exercise 15-7 Cost flows in a job order costing...Ch. 15 - Prob. 8ECh. 15 - Prob. 9ECh. 15 - Prob. 10ECh. 15 - Prob. 11ECh. 15 - Prob. 12ECh. 15 - Prob. 13ECh. 15 - Prob. 14ECh. 15 - Prob. 15ECh. 15 - Prob. 16ECh. 15 - Prob. 17ECh. 15 - Prob. 18ECh. 15 - Prob. 19ECh. 15 - Prob. 20ECh. 15 - Prob. 1PSACh. 15 - Prob. 2PSACh. 15 - Prob. 3PSACh. 15 - Prob. 4PSACh. 15 - Prob. 5PSACh. 15 - Prob. 1PSBCh. 15 - Prob. 2PSBCh. 15 - Prob. 3PSBCh. 15 - Prob. 4PSBCh. 15 - Prob. 5PSBCh. 15 - SERIAL PROBLEM Business Solutions P1 P2 P3 (This...Ch. 15 - Prob. 1GLPCh. 15 - REPORTING IN ACTION P1 APPLE BTN 15-1 Manufactures...Ch. 15 - Prob. 2BTNCh. 15 - ETHICS CHALLENGE P3 BIN 15-3 Assume that your...Ch. 15 - COMMUNICATING IN PRACTICE C1 C2
BTN 15-4 Assume...Ch. 15 - Prob. 5BTNCh. 15 - Prob. 6BTNCh. 15 - Prob. 7BTNCh. 15 - Prob. 8BTNCh. 15 - Prob. 9BTN
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