Based on the 2013 income statement and balance sheet for Scandi Home Furnishings. What would be the days in inventory, average collection period, days in accounts payable and cash conversion cycle for scandi home furnishings. I need the rations, with a statement under the calculations explaining specifically what the calculation mean. It could be the 2016 income statement that you see. the one with 1,800,000 net sales and on balance sheet $10,000 cash

d associated with identifying, contacting, Kaj Rasmussen hopes that you can help him better understand what has been happening from both operating and financial standpoints and elli SCANDI HOME FURNISHINGS. INC. 2013 2012 2011 INCOME STATEMENTS Net sales Cost of goods sold $1,800,000 1.260,000 540,000 200,000 200,000 $1,500,000 $1,300,000 Gross profit Marketing General and administrative 780,000 520,000 130,000 150,000 900,000 600,000 150,000 150,000 247,000 57,000 190,000 70,000 10,000 interest 55,000 62,000 $ 93,000 Eamings before taxes Income taxes (40%) $ 6,000 Net income Cash Dividends SCANDI HOME FURNISHINGS 2011 2013 BALANCE SHEETS 40,000 260,000 500,000 800,000 400,000 S 10,000 360,000 600,000 S50,000 Accounts receivable 450,000 700,000 nventories Total current assets Fixed assets, net 970,000 500,000 $1.470,000 1,000,000 $ 130,000 50,000 90,000 270,000 300,000 350,000 80,000 $1,000,000 Total assets $1.200,000 Accounts payable Accruals Bank loan S170,000180,000 Total crrent liabilities Long-term debt Common stock Retained earnings 184,000 444,000 550,000 350,000 126,000 $1,200,000 $1.470,000 90,000 330,000 400,000 350,000 120,000 Total liabilities and equity 350,000 shares of common stock were issued to Kaj Rasmussen and the venture inv Scandi Home Furnishings was incorporated in mid-2010 he ysis of the cash conversion cycle should also help Kaj understand what has been happening to the for 2011-2012 and 2012-2013. Explain what has happened in terms of each component of the cycle Prepare an analysis of the average conversion periods for the three components of the cash g Kaj has been able to obtain some industry ratio data from the home furnishings industry trade association of which he is s member. The industry association collects proprietary financial information from members of the association. com- piles averages to protect the proprietary nature of the information, and provides averages for use by individual trade association members. Over the 2011-2012 and 2012-2013 periods, the inventory-to-sale conversion period has aver aged 200 days, while the sale-to-cash conversion period (days of sales outstanding) for the industry has averaged 60 days How did Scandi's operations compare with these industry averages in terms of these two components of the cash conversion cycle