Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. wisteria solutions manufactures and markets many p

Wisteria Solutions manufactures and markets many products you use every day. In 2019, sales for...

80.2K

Verified Solution

Question

Accounting

Wisteria Solutions manufactures and markets many products you use every day. In 2019, sales for the company were $92,000 (all amounts in millions). The annual report did not report the amount of credit sales, so we will assume that all sales were on credit. The average gross profit percentage was 51.0 percent. Account balances for the year follow:

Beginning Ending
Accounts receivable (net) $ 5,500 $ 5,900
Inventory 6,280 6,300

Required:

  1. Compute the turnover ratios for accounts receivable and inventory.

  2. By dividing 365 by your ratios from requirement 1, calculate the average days to collect receivables and the average days to sell inventory.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

1-month call and put price for European options at strike 108 are 0.29 and 1.70, respectively....

Finance
Q

Evaluate the iterated integral. integral sqrt(pi) to 0 integral 3x to 0 integral xz to 0...

Basic Math
Q

Multiple Choice/ Arduino Review -The Arduino uses what to assign analog values? a. Sine waves b. PWM c. Square...

Electrical Engineering
Q

EMD Corporation manufactures two products, Product S and Product W. Product W is of fairly recent...

Accounting
Q

E A material has a shearing strength of 100 mp The force necessary to punch...

Physics
Q

O Parallelogram Rectangle Rhombus O Square Question 4 Determine the most precise name for the...

Geometry
Q

1 point Estimate f x g x dx if f x x and g x...

Calculus
Q

Plea Plea

Accounting
Q

The Regal Cycle Company manufactures three types of bicycles-a dirt bike, a mountain bike, and...

Accounting
Q

Cul de las siguientes afirmaciones sobre las deducciones de gastos para los empleados NO es...

Accounting
Q

On July 1, an investor holds 50,000 shares of a certain stock. The market price...

Finance
Q

Unrecaptured 1250 gains are taxed at a maximum of 25%. When do they apply? Multiple...

Accounting