FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Everdeen, Inc., has a 125-day operating cycle. If its average age of inventory is 32 days, how long is its average collection period? If its

image text in transcribed

Everdeen, Inc., has a 125-day operating cycle. If its average age of inventory is 32 days, how long is its average collection period? If its average payment period is 39 days, what is its cash conversion cycle? Everdeen's average collection period, ACP, is days. (Round to the nearest whole number.) Everdeen's cash conversion cycle, CCC, is days. (Round to the nearest whole number.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamentals of Financial Management

Fundamentals of Financial Management

Authors: Eugene F. Brigham

Concise 9th Edition

1305635937, 1305635930, 978-1305635937

More Books

Students also viewed these Finance questions

Question

★★★★★
An instructor asked five students how many hours they had studied for an exam. Here are the hours studied and the students' grades: Hours Studied Test Grade 0 52 10.. 95 6 83 8 71 6 64 (b) Describe...

Answered: 1 week ago

Question

★★★★★
Can you go over the calculations to get the numbers?

Answered: 1 week ago

Question

★★★★★
=+4. In the end, the Argentinean government was forced to abandon its peg to the dollar. In retrospect was this a good thing? Why?

Answered: 1 week ago

Question

★★★★★
Preparing a schedule of cash payments for selling and administrative expenses The budget director for Metro Cleaning Services prepared the following list of expected selling and administrative...

Answered: 1 week ago

Question

★★★★★
Everdeen, Inc., has a 125-day operating cycle. If its average age of inventory is 32 days, how long is its average collection period? If its average payment period is 39 days, what is its cash...

Answered: 1 week ago

Question

★★★★★
Consider the following information on Stocks I and II: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock I Stock II Recession .30 .05 .18 Normal .40 .19 .14...

Answered: 1 week ago

Question

★★★★★
Gerald Kiraly sold 8 Romond Corporation bonds with a coupon rate of 8.375% and a current market price of 95.25. The commission charge is $10 per bond. The date of the transaction is 72 days since the...

Answered: 1 week ago

Question

★★★★★
The DIKW pyramid is important because: 1) It illustrates the relationship between data, information, and knowledge 2) The pyramid reflects the degree of importance and volume 3) wisdom is the most...

Answered: 1 week ago

Question

★★★★★
Marcie Bread Company (Marcie) bakes loaves of bread. The monthly equipment maintenance cost for Marcie is considered to be a mixed cost. The variable portion of the cost is related to the number of...

Answered: 1 week ago

Question

★★★★★
Problem 3. (16 pts) No arbitrage price of coupon bond. We consider now a market where 4 bonds exist, namely A, B, C, D. Their cashflows are repre- sented in the following table (the unit of time is...

Answered: 1 week ago

Question

★★★★★
> Transactions for buyer and seller Shore Co. sold merchandise to Blue Star Co. on account, $110,400, terms FOB shipping point, n/30. The cost of the goods sold is $66,240. Shore paid freight of...

Answered: 1 week ago

Previous Question Next Question