Question
Consider the following data and find answers to the following questions. Particulars Amount OMR Cost of goods sold 10,00,000 Credit sales 600,000 Credit purchases 300,000
Consider the following data and find answers to the following questions.
| Particulars | Amount OMR |
| Cost of goods sold | 10,00,000 |
| Credit sales | 600,000 |
| Credit purchases | 300,000 |
| Opening creditors | 55,000 |
| Opening debtors | 80,000 |
| Opening inventory | 32,000 |
| Closing inventory | 90,000 |
| Closing creditors | 45,000 |
| Closing debtors | 120,000 |
1. What is the Average Inventory Conversion Period?
20.26 DAYS
18.26 DAYS
22.26 DAYS
12.26 DAYS
2. What is the Average Receivables Collection Period?
608.3 DAYS
60.83 DAYS
6.83 DAYS
22.26 DAYS
3. What is the Average Payment Period?
6.83 DAYS
90.83 DAYS
22.26 DAYS
60.83 DAYS
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Financial Accounting
Authors: Jane L. Reimers
1st Edition
0131492012, 978-0131492011
