Question
Firm JKL4 has the following information: Annual sales: RM110,000 Cost of goods sold: RM80,000 Average inventory: RM20,000 Average receivables: RM16,000 Average payables: RM10,000 Days in
Firm JKL4 has the following information:
Annual sales: RM110,000
Cost of goods sold: RM80,000
Average inventory: RM20,000
Average receivables: RM16,000
Average payables: RM10,000
Days in year 365
Calculate the followings:
Inventory conversion period [ ] days
Days sales outstanding [ ] days
Payables deferral period [ ] days
Cash conversion cycle [ ] days
If the firm is able to reduce the average inventory by RM4000, reduce the average receivables by RM2000, and increase the accounts payable by RM2000, the cash conversion cycle would change to [ ]
Any expert can help me solve this ques ?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
The Regulation Of Mobile Money Law And Practice In Sub Saharan Africa
Authors: Sunduzwayo Madise
1st Edition
3030138305,3030138313
