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Incom Corp. has used its historical sales and asset data to estimate the following regression equations: Accounts Receivable -595,420 +0.265(Sales) $9,900+ 0.192(Sales) Inventories Incom Corp.

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Incom Corp. has used its historical sales and asset data to estimate the following regression equations: Accounts Receivable -595,420 +0.265(Sales) $9,900+ 0.192(Sales) Inventories Incom Corp. currently has sales of $984,000, but it expects sales to grow by 30% over the next year. Use the regression models to calculate Incom Corp's forecasted values for accounts receivable and inventories needed to support next year's sales Forecasted Values for Next Year Accounts receivable Inventories Based on the next year's accounts receivable and inventory levels predicted by Incom Corp.'s regression equations, the firm's DSO for next year is expected to be Use 365 days as the length of a year in all calculations

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