A firm has accounts receivable of $26,000, inventory of $38,000,
and accounts payable of $21,000. If...
A firm has accounts receivable of $26,000, inventory of $38,000,
and accounts payable of $21,000. If a new project is accepted, the
estimated values are projected to be accounts receivable of
$31,000, inventory of $29,000, and accounts payable of $24,000.
What is the project's initial net working capital cash flow?
Possible Answers: outflow of $4,000, outflow of $1,000, inflow of
$3,000, inflow of $7,000
A firm currently has $30M of cash, $20M of accounts receivable,
$45M of inventory and $10M...
A firm currently has $30M of cash, $20M of accounts receivable,
$45M of inventory and $10M in taxes payable. The firm plans to
finance some of its inventory next year with trade credit. As a
result, cash needs will decrease to $10M, accounts payable will be
$40M and inventory will increase to in $60M. Then, the year after
that, the firm plans to use just-in-time inventory management
rather than trade credit to reduce its cost of stocking inventory,
which would...
wilson and taylor are implementing a project which will increase
accounting payable by $5,000, increase inventory...
wilson and taylor are implementing a project which will increase
accounting payable by $5,000, increase inventory by $3,000, and
decrease accounts receivable by $2,000. all net working capital
will be recouped when the project terminates. what is the cash flow
related to the net working capital for the last year of the
project?
a. -$10,000
b. -$4,000
c. $0
d. $1,000
e. $4,000
Broussard Skateboard's sales are expected to increase by 25%
from $9.0 million in 2015 to $11.25...
Broussard Skateboard's sales are expected to increase by 25%
from $9.0 million in 2015 to $11.25 million in 2016. Its assets
totaled $5 million at the end of 2015. Broussard is already at full
capacity, so its assets must grow at the same rate as projected
sales. At the end of 2015, current liabilities were $1.4 million,
consisting of $450,000 of accounts payable, $500,000 of notes
payable, and $450,000 of accruals. The after-tax profit margin is
forecasted to be 5%,...
2014
2015
Accounts payable
440
380
Accounts receivable, net
1,810
2,040
Accruals
95
120
Cash
120...
2014
2015
Accounts payable
440
380
Accounts receivable, net
1,810
2,040
Accruals
95
120
Cash
120
100
Capital surplus
1,120
1,290
Common stock
1,000
1,100
Cost of Goods Sold
6,610
6,420
Depreciation expense
1,550
1,650
Interest expense
140
170
Inventory (end of year)
5,720
5,530
Long-term debt
3,890
4,150
Net fixed assets
7,530
8,050
Net sales
10,750
11,050
Notes payable
800
740
Operating expenses (excluding depreciation)
1,680
1,780
Retained earnings
7,835
7,940
Taxes
250
360
22. Cash flow from operating...
Consider the following financial statement information for the
Stream Corporation.
Item
Inventory
Accounts receivable Accounts...
Consider the following financial statement information for the
Stream Corporation.
Item
Inventory
Accounts receivable Accounts payable
Net Sales
Cost of Goods Sold
Beginning $17,385 13,182 15,385
Ending $19,108 13,973 16,676
$216,384 165, 763
Calculate the operating and cash cycles. (Note: Use average
inventory, average accounts receivable and average accounts payable
in computing the inventory period, accounts receivable period, and
accounts payable period, respectively).
Interpret the meaning of the operating and cash cycles that you
computed in (a)
Using the following information, and a 360-year. Calculate the
accounts receivable period, accounts payable period, inventory...
Using the following information, and a 360-year. Calculate the
accounts receivable period, accounts payable period, inventory
period, and cash conversion cycle for the following firm: Income
statement data: Sales 5,000 Cost of goods sold 4,200 Balance sheet
data: Beginning of Year End of Year Inventory 500 600 Accounts
receivable 100 120 Accounts payable 250 290