Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Impact of change in credit policy on the debt ratio.
Collins Company had the following partial balance sheet and complete income statement information for 1998:
Partial Balance Sheet:
Cash
$ 20
A/R
1,000
Inventories
2,000
Total current assets
$ 3,020
Net fixed assets
2,980
Total assets
$ 6,000
Income Statement:
Sales
$10,000
Cost of goods sold
9,200
EBIT
$ 800
Interest (10%)
400
EBT
$ 400
Taxes (40%)
160
Net Income
$ 240
The industry average DSO is 30 (360-day year). Collins plans to change its credit policy so as to cause its DSO to equal the industry average, and this change is expected to have no effect on either sales or cost of goods sold. If the cash generated from reducing receivables is used to retire debt (which was outstanding all last year and which has a 10 percent interest rate), what will Collins' debt ratio (Total debt/Total assets) be after the change in DSO is reflected in the balance sheet?
Government accounts items requiring passing of journal entries in the General Fund - preparation of fund financial statements, prepare the appropriate journal entries in the General Fund
What do you meant by the term liability management? Discuss the instruments that banks use in liability management. What are the advantages and potential pitfalls of aggressive use of liability management for commercial banks?
Evaluate which of the operating segments are reportable segments for Bennett. Your determination should include all needed tests and the results of those tests for all of Bennett's five segments.
Analyses of the existing year Operating Expenses account
Journal entries for Collected the correct balance due. Collected the correct balance due from the Transaction 4 sale of Merchandise, net of the discount.
Compute the market value of Renowned Cola's debt
Prepare a two column common size income statement and Comment specifically on difference between Camper's, Inc., and the industry average.
Explain the presentation of marketable securities in Western's balance sheet at December 31, 2007. In 2008, Western engaged in the following transaction.
Prepare absorption and contribution margin income statements for the succeeding quarter for the division. Compute production costs per unit for both approaches and for both quarters.
How much is the company's predetermined overhead rate to the nearest cent - total manufacturing costs are greater than the cost of goods manufactured
Draft the appropriate audit opinion provided the subsequent scenarios.
Computation of cost of goods sold using the given data - Using the following data, compute cost of goods sold
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd