Project #8697 - Calculating Cycles and Factoring Receivables

 

1) Calculating Cycles:

Consider the following financial statements information:

 

Inventory beginning 8,732 and ending 9,418

 

Accounts receivable 3, 3721 and ending 4,162

 

Accounts payable 4,384 and ending 4,791

 

Net sales 138,503

 

Costs of goods sold 86,313

 

 

 

2) Factoring Receivables:

Your firm has an average collection period of 34 days. Current price is to factor all receivables immediately at a 2% discount. What is the effective cost of borrowing in this case? Assume that the default is extremely unlikely.

 

Subject Mathematics
Due By (Pacific Time) 07/07/2013 12:00 am
Report DMCA
TutorRating
pallavi

Chat Now!

out of 1971 reviews
More..
amosmm

Chat Now!

out of 766 reviews
More..
PhyzKyd

Chat Now!

out of 1164 reviews
More..
rajdeep77

Chat Now!

out of 721 reviews
More..
sctys

Chat Now!

out of 1600 reviews
More..
sharadgreen

Chat Now!

out of 770 reviews
More..
topnotcher

Chat Now!

out of 766 reviews
More..
XXXIAO

Chat Now!

out of 680 reviews
More..
All Rights Reserved. Copyright by AceMyHW.com - Copyright Policy