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Suppose your firm receives a $5.93 million order on the last day of the year. You fill the order with $1.82 million worth of inventory.
Suppose your firm receives a $5.93 million order on the last day of the year. You fill the order with $1.82 million worth of inventory. The customer picks up the entire order the same day and pays $1.05 million up front in cash; you also issue a bill for the customer to pay the remaining balance of $4.88 million within 40 days. Suppose your firm's tax rate is 0% (ie., ignore taxes). Determine the consequences of this transaction for each of the following a. Revenues b. Earnings c. Receivables d. Inventory e. Cash a. Revenues. Revenues will by $ million. (Select from the drop-down menu and round to two decimal places.)
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