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Suppose your firm receives a $4.56 million order on the last day of the year. You fill the order with $2.24 million worth of inventory.

image text in transcribed Suppose your firm receives a $4.56 million order on the last day of the year. You fill the order with $2.24 million worth of inventory. The customer picks up the entire order the same day and pays $1.17 million up front in cash; you also issue a bill for the customer to pay the remaining balance of $3.39 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 b. Earnings c. Receivables d. Inventory e. Cash

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