Find on the Internet (using Google or another search engine) the 2014 10-K (annual report) for The Hershey Company, to compare to Tootsie Roll Industries Inc.

1. For both companies: calculate, compare, and interpret the following ratios for 2014:

A/R turnover

Average collection period (# days)

A/R Allowance as a % of Gross A/R (i.e., Allowance divided by Gross A/R)

Hint #1: For Hershey, the F/S are in Item 8 of the 10-K, which you will probably find in pdf.

Hint #2: A company is not required to report the Allowance for Doubtful Accounts balance on the balance sheet itself; the info may have to be found in the Notes to the F/S.

Hint #3: When using info, double-check whether its being reported in dollars, thousands of dollars, or millions.

Your calculations (for each company) should be very clearly labeled and organized. Using Excel is highly recommended.

2. Find what Hershey says about concentrations of credit risk. (Hint: Look in the Accounts Receivable-Trade Note to the F/S.) With which customers does Hershey have concentrations with, and how concentrated are they? (I.e., what are the percentages of A/R at Dec 31, 2014 for these very large customers?)