q. .5 a)

A company has a gross profit ratio of 40%. The trade receivables collection period for the company has been calculated at 53 days. If the actual gross profit earned was 480,000, what were the trade receivables?

Group of answer choices

69,698

174,247

104,548

116,164

.6 b)

Which of the following events which took place between the end of a company's reporting period of 31 December and the date the financial statements were approved for issue to shareholders, would be treated as a non-adjusting event?

Group of answer choices

The bankruptcy of a customer whose debt was included within trade receivables

The announcement of a major restructuring plan

The discovery of a material error in the addition of the company's inventory

The value of an asset destroyed in a fire before the end of the reporting period is confirmed by an insurance company

69,698

174,247

104,548

116,164