Dome Metals has credit sales of $180,000 yearly with credit terms of net 60 days, which is also the average collection period. Dome does not offer a discount for early payment, so its customers take the full 60 days to pay. What is the average receivables balance? Receivables turnover?
Answer to relevant QuestionsDome Metals had credit sales of $180,000 yearly. Dome offered a 3 percent discount for payment in 18 days. What would the average receivables balance be?Logan Distributing Company of Atlanta sells fans and heaters to retail outlets throughout the Southeast. Joe Logan, the president of the company, is thinking about changing the firm’s credit policy to attract customers ...a. What is the present value of $140,000 to be received after 30 years with a 14 percent discount rate?b. Would the present value of the funds in part a be enough to buy a $2,900 concert ticket?If you invest $8,500 per period for the following number of periods, how much would you have?a. 12 years at 10 percent.b. 50 years at 9 percent.Christy Reed has been depositing $2,000 in her savings account every December since 2001. Her account earns 7 percent compounded annually. How much will she have in December 2012? (Assume that a deposit is made in December ...
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