Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Post Company's 2 0 y 1 net sales were $ 1 0 , 0 0 0 , 0 0 0 , cash cost of goods

image text in transcribed
Post Company's 20y1 net sales were $10,000,000, cash cost of goods sold was $5,500,000, and inventory days on hand was 62 days. The company projects its 20y2 net sales will be $11,000,000, cash cost of goods sold will be $6,100,000, and incentory days on hand will be 57 days. What would be the cash flow impact of the five-day shortening of inventory days on hand?
A decrease of $75,342
An increase of $75,342
A decrease of $83,562
An increase of $83,562.
image text in transcribed

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

Survey of Accounting

Authors: Paul D. Kimmel, Jerry J. Weygandt

1st edition

1119330025, 978-1119444244, 1119444241, 978-1119306474, 1119306477, 978-1119330028

Students also viewed these Accounting questions

Question

What are the disadvantages of the functional organisation?

Answered: 1 week ago

Question

600 lb 20 0.5 ft 30 30 5 ft

Answered: 1 week ago

Question

_____ inaction due to additional testing and questioning

Answered: 1 week ago

Question

_____ the period of time that an opportunity is available

Answered: 1 week ago