Answered step by step
Verified Expert Solution
Question
1 Approved Answer
thank you The Horner 2021 income statement and balance sheet follows. (Click the icon to view the assets section of the balance sheet.) (Click the
thank you
The Horner 2021 income statement and balance sheet follows. (Click the icon to view the assets section of the balance sheet.) (Click the icon to view the liabilities and stockholders' equity sections of the balance sheet.) (Click the icon to view the income statement.) Read the a. Use the income statement and the balance sheet to calculate Horner's rate of inventory turnover and deys' inventory outstanding for 2021. Begin by selecting the formula and then enter the amounts to calculate inventory tumover. Enter currency amounts in milions as given in the question. Round the inventory tumover to two decimal Now, select the formula and then enter the amounts to calculate days inventory outstanding (DIO). (Enter any ratios used to calculate the DIO to two decimal places, X.XX, and use a 365 day year. Requirements b. Use the income stetement and the balance sheet to calculate the days' sales in average receivables (days' gales cutstanding) during 2021 (round dollar amounts to one decimal place). Assume \& Select the formula and then enter the amounts to calculate days' sales in cutstanding (DSO), (Abbreviation used: AR = Accounts receivable. Enter any ratios used to calculate DSO to two decimal p decimal place, X.X clays. Use the income statement and the balance sheet to calculate the following: a. Horner's rate of inventory turnover and days' inventory outstanding for 2021. b. Days' sales in average receivables (idays' sales outstanding) during 2021 (round dollar amounts to cne decimal place). Assume all sales are made on account. c. Acrounts payable turnover and days' payables outstanding for 2021. For this purpose, assume that the impact of inventories cn cost of goods sold is immaterial, allowing you to use cost of goods sold rather than purchases in your computations. d. Length of cash conversion cycle in days for 2021. Do these measures look strong or weak? Give the reason for your answer. \begin{tabular}{|l|l|} \hline Data table & Ress the rexuirements. \\ \hline \end{tabular} Data table Data tableStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started