Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Greek Connection had sales of $29.3 million and a cost of goods sold of $11.7 million in 2013. A simplified balance sheet for the

image text in transcribed

image text in transcribed

image text in transcribedimage text in transcribed

The Greek Connection had sales of $29.3 million and a cost of goods sold of $11.7 million in 2013. A simplified balance sheet for the firm appears below: a. Calculate The Greek Connection's net working capital in 2013. b. Calculate the cash conversion cycle of The Greek Connection in 2013. c. The industry average accounts receivable days s 30 days. What would have been he cash conversion cycle orThe Greek Connection 20 a t met hen us accounts receivable days? (Hint: Use a 365-day year.) average Total current assets Total current liabilities $3,565 $3,000 $6,565 $8,747 $15,312 $6,812 Net plant, property, and equipment Total assets S8,500 ong-term debt $15,312 Total liabilities Common equity Total liabilities and equity a. Calculate The Greek Connection's net working capital in 2013. The net working capital is $thousand. (Round to the nearest integer.) b. Calculate the cash conversion cycle of The Greek Connection in 2013. The cash conversion cycle is days. (Round to one decimal place.) c. The industry average accounts receivable days is 30 days. What would have been the cash conversion cycle for The Greek Connection in 2013 had it met the industry average for accounts receivable days? Had they met the industry average accounts receivable days of 30 days, the CCC would have beendays. (Round to one decimal place.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Short Term Financial Management

Authors: Ned C Hill

1st Edition

0023548207, 978-0023548208

More Books

Students also viewed these Finance questions