The following financial information is for Ambroise Industries Inc.:

		2020		2019
Sales		$4,792,000		$4,827,000
Cost of goods sold		2,300,160		2,316,960
Accounts receivable		564,860		518,600
Inventory		832,320		735,470
Accounts payable		219,620		187,040
Total assets		1,696,370		1,695,690

Ambroise is a distributor of auto parts operating in eastern Ontario that offers 30-day terms and has all sales on credit. The company has a large inventory due to the number of parts it stocks for different makes and models of cars. Most of its suppliers offer terms of 30 days, and Ambroise tries to stay on good terms with its suppliers by paying on time.

What is the average time it takes Ambroise to collect its accounts receivable? (Round answer to 1 decimal place, e.g. 18.4. Round intermediate calculations to 2 decimal places.)

Average collection period

Enter a number of days rounded to 1 decimal place. days

eTextbook and Media

What is the average length of time that it takes Ambroise to sell through its inventory? (Round answer to 1 decimal place, e.g. 18.4. Round intermediate calculations to 2 decimal places.)

Days to sell inventory

Enter a number of days rounded to 1 decimal place. days

eTextbook and Media

What is the average length of time that it takes Ambroise to pay its payables? (Round answer to 1 decimal place, e.g. 18.4. Round intermediate calculations to 2 decimal places.)

Accounts payable payment period

Enter a number of days rounded to 1 decimal place. days

eTextbook and Media

The cash-to-cash cycle is the length of time from when a company purchases an item of inventory to when it collects cash from its sale, reduced by the days it takes to pay the related accounts payable. How long is Ambroises cash-to-cash cycle? (Round answer to 1 decimal place, e.g. 18.4.)

Ambroses cash-to-cash cycle

Enter a number of days rounded to 1 decimal place. days

eTextbook and Media

Assume that Ambroise finances its inventory with a working capital loan from the bank. If Ambroise could improve its inventory management system and reduce the days to sell inventory to an average of 45 days, how much lower would the companys bank loan be? (Round answer to 0 decimal places, e.g. 45,482.)

Companys bank loan would be

$Enter a dollar amount rounded to 0 decimal places.

Two companies in the travel and tourism industry had the following information:

		Company A		Company B
Basic earnings per share		$0.90		$0.80
Market price per share		$48.69		$17.28
Dividends per share		$0.630		$0.400
Cash flows from operating activities ($ thousands)		$329,830		$90,340
Net capital expenditures ($ thousands)		$105,110		$8,650

Calculate the P/E ratios for both companies. (Round answers to 1 decimal place, e.g. 18.4.)

		Company A		Company B
Price-earnings ratio		times		times

eTextbook and Media

Calculate the dividend payout ratio and dividend yield for both companies. (Round dividend payout ratio to 1 decimal place, e.g. 18.4% and Dividend yield to 2 decimal place, e.g. 13.61%.)

		Company A		Company B
Dividend payout ratio		%		%
Dividend yield		%		%

Determine the net free cash flows of both companies.

		Company A		Company B
Net free cash flows (in thousands)		$		$