You have collected the following information for the Charger Co.

Credit sale 50000
Cost of goods sold 30000

Requirements
(a). How long does it take for Charger to collect on its receivables?
(b). How long does merchandise stay around before it is sold?
(c). How long does it take Charger to pay its bills?
(d). What is Charger's operating cycle?
(e). What is Charger's cash cycle?

Transcribed Image Text:

Beginning 5000 1600 2700 Ending Inventory Accts. Receivable Accts. Payable 7000 2400 4800