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im a bit lost on this, please help me b. If Maddox offered a 2 percent discount for payment in 10 days and every customer
im a bit lost on this, please help me
b. If Maddox offered a 2 percent discount for payment in 10 days and every customer took advantage of the new terms, what would the new average recelvables balance be? Use the full sales of $188.000 for your calculation of receivables. (Do not round intermedtate cafcutations. Round the final answer to nearest whole dollar.) New receivable balance c. If Maddox reduces its bank loans, which cost 15 percent, by the cash generated from reduced receivables, what will be the net gain or loss to the firm? Use the full sales of $188,000 for your calculation of receivables. (Negative answers should be indicated by a minus sign. Do not round intermediate catcutations. Round the finat answer to nearest whole dollar, Omit $ sign in your response.) Net Change $ c-2. Should Maddox Resources offer the discount? Yes No d-1. Assurme the new trade terms of 2/10, net 30 will increase sales by 24 percent because the discount makes Maddox price competitive. If Maddox earns 16 percent on sales before discounts, what will be the Net change in income? (Do not round intermediate calculetions. Round the final answer to nearest whole dollar.) Net change in income $ d-2. Should Maddox Rersources offer the discount? Yes No Fisk Corporation is trying to improve its inventory control system and has installed an online system at its retail stores. Fisk anticipates sales of 58,800 units per yeat, an ordering cost of $4 per order, and carrying costs of $15 per unit. o. What is the economic ordering quantity? Economic ordering quantity (EOO) units b. How many orders will be placed during the year? Number of orders c. What will the averoge inventory be? Average inventory units d. What is the total cost of inventary expected to be? Total costs s Step by Step Solution
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