BUSINESS COLLEGE

A company reports the following:Sales $1,500,000
Average accounts receivable (net) 100,000
Determine (a) the accounts receivable turnover and (b) the number of days' sales in receivables. Round interim calculations to the nearest dollar and final answers to one decimal place. Assume a 365-day year.
a. Accounts receivable turnover.
b. Number of days' sales in receivables. _______ days

Answers

Answer 1
Answer:

Answer:

a. 15 times

b. 24.3 days

Explanation:

The computations are shown below:

a. Account receivable turnover ratio = Net credit sales ÷ Average accounts receivable

= $1,500,000 ÷ $100,000  

= 15 times

Now the Number of days' sales in receivables would be  

= Total number of days in a year ÷ Accounts receivable turnover ratio  

= 365 days ÷ 15 times

= 24.3 days

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One unit of Maruna's currency (druba) was defined as equivalent to 16 grains of "fine" (pure) gold, while one unit of its neighbor, Rashumba's currency (troon) was defined as equivalent to 24 grains of "fine" (pure) gold. Using the gold par value concept (with 480 grains in an ounce), the exchange rate for converting the druba to the troon is__________

Answers

The exchange rate for converting the druba to the troon is1 troon = 1.5 druba.

Explanation:

The amount in dollar that is obtained as the exchange rate in between two different currencies refers to the par value. This par value of currency depends on the exchange rates. Say for an instance, one British pound has the value of three U.S dollars and if an individual has 100 pounds, then  $300 will be the par value in dollars.

The currency devaluations up to 10 percentage were allowed  under the Bretton Woods system. This can also be done only getting approvals form the International Monetary Funds. When considering gold,  the total amount of currency that is essential in purchasing one ounce of gold is known as gold par value. The exchange rate for converting the druba to the troon is 1 troon = 1.5 druba.

Which of the following generally provides the least evidence regarding the valuation of accounts receivable?A. Reviewing an aging of accounts receivable.B. Examination of cash receipts subsequent to the balance sheet date.C. Confirming current (0-30 day) year-end accounts receivable.D. Reviewing credit files for selected account.

Answers

Answer:

the correct answer is C

good luck ❤

ssume the following information: Variable cost ratio 80% Total fixed costs $60,000 What is the volume of sales dollars required to break even

Answers

Answer:

Break-even point (dollars)= $300,000

Explanation:

Giving the following information:

Variable cost ratio 80%

Total fixed costs $60,000

To calculate the break-even point in dollars, we need to use the following formula:

Break-even point (dollars)= fixed costs/ contribution margin ratio

contribution margin ratio= 1 - 0.8= 0.2

Break-even point (dollars)= 60,000 / 0.2

Break-even point (dollars)= $300,000

David and Lilly Fernandez have determined their tax liability on their joint tax return to be $1,700. They have made prepayments of $1,500 and also have a child tax credit of $2,000, of which $1,400 is refundable.What is the amount of their tax refund or taxes due?

Answers

Answer:

-$1,800

Explanation:

Given that

Tax liability = $1,700

Prepayment made = $1,500

Child tax credit = $2,000

The computation of tax refund is given below:-

= Tax liability - (Prepayment made + Child tax credit)

= $1,700 - ($1,500 + $2,000)

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If you earn an annual interest rate of 8.9 percent, how many years will it take to double your money

Answers

Answer:

Every 7.86 years the investment doubles.

Explanation:

Giving the following information:

Interest rate= 8.9% compounded annually

To determine the number of years to double the money, we can use the rule of 70:

The rule of 70 is a means of estimating the number of years it takes for an investment or your money to double.

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The Holtzman Corporation has assets of $384,000, current liabilities of $54,000, and long-term liabilities of $79,000. There is $36,800 in preferred stock outstanding; 20,000 shares of common stock have been issued. a. Compute book value (net worth) per share. (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Book value per share $

b. If there is $33,600 in earnings available to common stockholders, and Holtzman’s stock has a P/E of 22 times earnings per share, what is the current price of the stock? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Current price $

c. What is the ratio of market value per share to book value per share? (Do not round intermediate calculations. Round your final answer to 2 decimal places.)

Answers

Answer:

A. $10.71

B.$36.96

C. 3.45 times

Explanation:

The Holtzman Corporation

A.

Total assets $384,000

Less:current liabilities ($54,000)

long-term liabilities of ($79,000)

Stock holder equity $251,000

Less preferred stock( $36,800)

Net worth assigned to common $214,200

Common shares outstanding $20,000

Book value per share (Net worth) per share $10.71

Book value per share = $214,200/$20,000

= $10.71

B. Earnings per share = Earnings available to common stockholders /Numbers of shares

$33,600/$20,000

=$1.68

Price =P/E×EPS

22×$1.68

=$36.96

C. Market value per share to book value per share

$36.96/$10.71

3.45 times
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