Exercise 1 (Short-Term Finance and Planning) The below table reports the $ amounts of inventory, receivables, payables, net sales and cost of good sols the XYZ Company in 200N. Accounts Beginning...



Exercise 1 (Short-Term Finance and Planning)


The below table reports the $ amounts of inventory, receivables, payables, net sales and cost of good sols the XYZ Company in 200N.



































Accounts




Beginning




Ending




Inventory



$10,000



$12,000




Receivables



8,000



10,000




Accounts payable



6,000



7,000




Net sales



30,000




Cost of Goods sold



14,000







  • Calculate the inventory turnover and inventory period. Interpret.

  • Calculate the receivable turnover and receivable period. Interpret.

  • Calculate the operating cycle (OC). Interpret.

  • Calculate and interpret the cash cycle (CC).



Jun 03, 2022
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