Determine the accounts payable days, Accounting Standards

Assignment Help:

SQB Corporation reports sales of $10,000,000 for Year 2, with a gross profit margin of 40%.  20% of SQB's sales are on credit.    

 

Year 1

Year 2

Accounts receivable

$  150,000

$  170,000

Inventory

900,000

1,000,000

Accounts payable

1,100,000

1,200,000

Requirements:

1. Accounts receivable days outstanding at the end of Year 2 is (use year-end receivable balance and 360 days in a year):

2. Accounts payable days outstanding at the end of Year 2 is (use average accounts payable for the year and 360 days in a year):

3. Days' sales in inventory at the end of Year 2 is (use year-end inventory amount and 360 days in a year)


Related Discussions:- Determine the accounts payable days

Financial position statement, Currently I can represent my financial positi...

Currently I can represent my financial position in the subsequent form:                                           Financial Position Statement 1     Amount owned by me

Working capital, When is working capital most likely to increase? A when...

When is working capital most likely to increase? A when the business increases its selling prices B when the credit period allowed to customers is reduced C when the credit pe

Intangible assets, These are assets or things of value without physical dim...

These are assets or things of value without physical dimensions. They cannot be touched; they representing intrinsic value without material being and they are incorporeal. One of t

Profit and loss account, Loss and Profit Account is prepared so as to disce...

Loss and Profit Account is prepared so as to discern whether the firm has made net profit or suffered net loss for a specified accounting period. Such account deals along with indi

Attempts towards standardisation, Standardization in UK and USA: although ...

Standardization in UK and USA: although the Institute of Chartered Accountants in England and Wales began creating recommendations as 1942, real progress started along with the es

What is social accounting, Question : (a) In relation to a non-profit o...

Question : (a) In relation to a non-profit organization describe social accounting and describe its main aims. (b) What are the needs an organisation wants to satisfy throug

Borrowing Costs, Applicaion of Specific And General Loan

Applicaion of Specific And General Loan

IMPACTS OF ACCOUNTING , WHAT ARE THE AIMS AND OBJECTIVES IN STUDYING THE IM...

WHAT ARE THE AIMS AND OBJECTIVES IN STUDYING THE IMPACTS OF ACCOUNTING STANDARDS IN THE PREPARATION OF FINANCIAL STATEMENTS

Constructing a balance sheet, Comprising examined the conceptual origin of ...

Comprising examined the conceptual origin of the balance sheet we will here try to study the balance sheet by itself. We have observed that every transaction influences the financi

Write Your Message!

Captcha
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