Question
Supposed at the beginning of the year, account receivables are $250. Firm X has a 30-day collection period. Please calculate a) cash collection in each
Supposed at the beginning of the year, account receivables are $250. Firm X has a
30-day collection period. Please calculate
a) cash collection in each of the four quarters!
b) Rework question (a) assuming a collection period of 70 days.
c) Rework question (a) assuming a collection period of 45 days.
Notes: Number of days in one quarter is 90 days
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Fundamentals Of Investing
Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk
13th Edition
978-0134083308, 013408330X
