Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Hi, can you help me answer this with a simple explanation of the answer, if possible. Thank you information for Q1 to Q3: Consider the

Hi, can you help me answer this with a simple explanation of the answer, if possible. Thank you

information for Q1 to Q3: Consider the 2012 financial results (in millions of dollars) for the two companies below. (Assume 50 weeks in a year)

Measure ABC Corp XYZ Corp

Sales Revenue

150 25

Cost of Goods Sold

100 15

Gross Profit

50 10

Other Expenses

48 6

Net Income

2 4

Net Receivables

15 5

Inventories

20 3

Property, Plant, and Equipment

20 5

Other Assets

35 7

Total Assets

80 20

Accounts Payable

40 3

Other Liabilities

20 5

Total Liabilities

60 8

Stockholder Equity

20 12

1- The Cash-to-Cash Cycle (C2C) for ABC Corp. would be:

A) +5 weeks

B) +10 weeks

C) -5 weeks

D) -10 weeks

2- The Cash-to-Cash Cycle (C2C) for XYZ Corp. would be:

A) +5 weeks

B) +10 weeks

C) -5 weeks

D) -10 weeks

E) -10 weeks

3-The company is performing better in terms of the Cash-to-Cash Cycle (C2C)?

A) ABC Corp.

B) XYZ Corp.

C) The two companies are performing equally well

D) It is impossible to tell

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

Step: 3

blur-text-image

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

Supply Chain Management A Logistics Perspective

Authors: John coyle, John Langley, Robert Novack, Brain Gibson

9th edition

9780538479189, 9781285400945, 538479191, 538479183, 1285400941, 978-0538479196

More Books

Students also viewed these General Management questions

Question

download in the attach file and work on...

Answered: 1 week ago