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Please do b, c , e Suppose your firm receives a $5.54 million order on the last day of the year. You fill the order
Please do b, c , e
Suppose your firm receives a $5.54 million order on the last day of the year. You fill the order with $1.98 million worth of inventory. The customer picks up the entire order the same day and pays $1.21 million up front in cash; you also issue a bill for the customer to pay the remaining balance of $4.33 million within 40 days. Suppose your firm's tax rate is 0% (i.e., ignore taxes). Determine the consequences of this transaction for each of the following: a. Revenues d. Inventory b. Earnings e. Cash c. ReceivablesStep by Step Solution
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