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- i Data Table contents into a spreadsheet.) Customer B D E F Accounts Receivable $25,000 $37,000 $24,000 $12,000 $35,000 $26,000 $31,000 $14,000 $25,000 $16,000

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- i Data Table contents into a spreadsheet.) Customer B D E F Accounts Receivable $25,000 $37,000 $24,000 $12,000 $35,000 $26,000 $31,000 $14,000 $25,000 $16,000 $47,000 $52,000 Average age of account 50 days 55 days 35 days 26 days 21 days 35 days 50 days 25 days 40 days 28 days 20 days 45 days Average payment period of customer 35 days 70 days 50 days 30 days 30 days 40 days 65 days 35 days 50 days 40 days 30 days 60 days H K L er Print Done Accounts recelvable as collateral Kansas City Castings (KCC) is attempting to obtain the maximum loan possible using accounts receivable as collateral. The firm extends net-30-day credit. The amounts that are owed KCC by its 12 credit customers, the average age of each account, and the customer's averago payment period are as shown in the following table: a. If the bank will accept all accounts that can be collected in 45 days or less as long as the customer has a history of paying within 45 days, which accounts will be acceptable? What is the total dollar amount of accounts receivable collateral? (Note: Accounts receivable that have an average age greater than the customer's average payment period are also excluded.) b. In addition to the conditions in part a, the bank recognizes that 10% of credit sales will be lost to returns and allowances. Also, the bank will lend only 90% of the acceptable collateral (after adjusting for retums and allowances). What level of funds would be made available through this lending source? a. If the bank will accept all accounts that can be collected in 45 days or less as long as the customer has a history of paying within 45 days, which accounts will be acceptable? (Select the best answer below.) O A. B, D, F, G, J, K OB. A, E, H, I, K, L OC. D, E, F, H, J, K OD. A, B, C, G, IL b. In addition to the conditions in part, the bank recognizes that 10% of credit as walms and now , alowances). What level of funds would be made available through this ending source? What is the total doll amount of accounts receivable collateral? (Select the best answer below.) O A $150,000 OB. $160,000 OC. $194.000 OD. $100.000 b. In addition to the conditions in part, the bank recognizes that 10% of credit sales will be lost to retums and slowances. Also, the bank wil land only 30% of the acceptable colateral (ather adjusting for retums and allowances). What level of funds would be made avalable through the lending source? (Select the best answer below) O A $160,380 OB. $121.500 OC 5135.890 OD. $157.140 Click to select your

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