Wardlow Sales, Inc.s comparative income statements and balance sheets show the following selected information for 2011 and
Question:
Requirements
1. Calculate the companys accounts payable turnover and days payable outstanding (DPO) for 2011 and 2012.
2. On the basis of this computation alone, has the companys liquidity position improved or deteriorated during2012?
Transcribed Image Text:
2012 2011 Cost of goods sold. Average accounts payable $2,700,000 2,500,000 250,000 300,000
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Related Book For
Financial accounting
ISBN: 978-0132751124
9th edition
Authors: Walter T. Harrison Jr., Charles T. Horngren, C. William Thom
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