What is samual cash conversion cycle

Assignment Help Finance Basics
Reference no: EM13287058

Samual Corp has $13 million of sales, $2 million of inventories, $3 million of receivables, and $2 million of payables. Its cost of goods sold is 75% of sales, and it finances working capital with bank loans at an 8% rate. Assume 365 days in year for your calculations. Do not round intermediate steps.

What is Samual cash conversion cycle (CCC) 84.23 Days

1. If Samual could lower its inventories and receivables by 9% each and increase its payables by 9%, all without affecting sales or cost of goods sold, what would be the new CCC? Round your answer to two decimal places.

2. How much cash would be freed-up? Round your answer to the nearest cent.

 

Reference no: EM13287058

Questions Cloud

What temperature does it cease to show intrinsic properties : A sample of silicon contains 1x1018/cm3 donors. Below what temperature does it cease to show intrinsic properties if the band gap is 1.12ev and the intrinsic carrier concentration is 2x1016/cm3 at 300K.
Define the total molarity of acid and conjugate base : A beaker with 1.50×102mL of an acetic acid buffer with a pH of 5.000 is sitting on a benchtop. The total molarity of acid and conjugate base in this buffer is 0.100 M. A student adds 7.20mL of a 0.330\it M \rm HCl solution to the beaker.
Determine the distance between the two girls : Julie throws a ball to her friend Sarah. The ball leaves Julie's hand a distance 1.5 meters above the ground with an initial speed of 20.0 m/s at an angle 49.0 degrees, What is the distance between the two girls
Write abel-vhdl or verilog program to design clocked state : write an ABEL, VHDL, or Verilog Program to design a clocked synchronous state machine with 2 inputs, X and Y and one output, Z. The output should be 1 if the number of 1 inputs on X and Y, since reset, is a multiple of 4. Otherwise the output shou..
What is samual cash conversion cycle : If Samual could lower its inventories and receivables by 9% each and increase its payables by 9%, all without affecting sales or cost of goods sold, what would be the new CCC? Round your answer to two decimal places.
Calculate the year : Calculate the YEAR.
Compute the wavelength of the standing wave : You have a string with a mass of 14.1 g. You stretch the string with a force of 8.63 N, giving it a length of 1.93 m. What is the wavelength of the standing wave you create in the string
Determine the max rms voltage that can be applied : Determine the max rms voltage that can be applied to the high side of the transformer without exceeding the rated_flux_density in the core if transformer is supplied by frequency of 50 Hz.
Explain koh is required to titrate completely citric acid : how many milliliters of 0.2 M KOH are required to titrate completely 650 ml of 0.05 M citric acid

Reviews

Write a Review

Finance Basics Questions & Answers

  Influencing the price level

The thrifts had their origins in the early 1800s except for the credit unions which began in the early 1900s. All of them were established to provide a place where small savers could place their savings

  Estimation of break-even point

Ensco Lighting Corporation has fixed costs of $100,000, sells its units for $28, and has variable costs of $15.50 each unit.

  What is the current share price

Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next eight years, because the firm needs to plow back its earnings to fuel growth.

  Represent a diversifiable or undiversifiable risk

I have three scenarios and i must identify if they represent a diversifiable or an undiversifiable risk. I have to plan these scenarios in terms of the view point of investors and describe it.

  Calculate the eoq

It takes 5 days to receive a shipment after an order is placed, and the firm wishes to hold 10 days%u2019 usage in inventory as a safety stock.

  Why are the percentage changes different

If sales increase by 10 percent to 11,000 units, by what percentage will each firms earnings after interest increase? To answer the question, determine the earnings after taxes and compute the percentage increase in these earnings from the answers..

  How many shares does it have after the recap

Enter your answer in millions. For example, an answer of $1.4 million should be entered as 1.2, not 1,150,000. Round your answer to two decimal places.

  Computing rate of return-capm

CAPM and required return: Calculate the required rate of return for Manning Enterprises, assuming that investors expect a 3.5 percent rate of inflation in the future.

  Foreign corporate tax rate

Assume England raised its corporate tax rate by 1 percentage point from 40% to 41%. How would this raise affect the economics of U.S.-U.K. foreign expansion project?

  What was total dollar capital gain and total dollar return

You bought 100 shares of stock at $25 each. At the end of the year, you received a total of $500 in dividends, and your stock was worth $2,500 total. What was total dollar capital gain and total dollar return?

  What is the projects pi

Bill plans to open a self-serve grooming center in a storefront. The grooming equipment will cost $385,000, to be paid immediately.

  Supply and demand price rises

Why do you believe that it is significant for managers to understand both short run and long run supply & demand? Cite one hypothetical or real life example that illustrates response.

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd