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4) Suppose your company receives a $15 million order on the last day of the year. You fill the order with $12 million worth of
4) Suppose your company receives a $15 million order on the last day of the year. You fill the order with $12 million worth of inventory. The customer picks up the entire order the same day and pays $8 million up front in cash; you also issue an invoice for the customer to pay the remaining balance of $7 million within 30 days. Ignoring taxes, determine the consequences of this transaction for each of the following: a. Revenues b. Earnings c. Receivables d. Inventory e. Cash
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