31.1 Walmart Boeing Average inventory period 41.5 days 198.4 days Average receivables period 4.0 35.4 Average payables

Question:

31.1 Walmart Boeing Average inventory period 41.5 days 198.4 days Average receivables period 4.0 35.4 Average payables period 43.7 54.6 Cash cycle 1.8 days 179.2 days 31.2 Carrying costs rise and inventory levels should fall.

31.3 You pay $19,600. Due date = May 21.

31.4 = ( 1 + _ 5 95

) 365/40 − 1 = 0.597, or 59.7%

In this case, the customer pays the same amount but gains only 40 days extra credit.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Principles Of Corporate Finance

ISBN: 9781264080946

14th Edition

Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans

Question Posted: