Use the comparative statements from Application Problem 17-1 to complete this problem. Instructions: 1. Based on CyberOptics

Question:

Use the comparative statements from Application Problem 17-1 to complete this problem.

Instructions:

1. Based on CyberOptic’s comparative financial statements prepared in Application Problem 17-1 and the information given in the text for Application Problem 17-1, calculate the following for each year. All of CyberOptic’s sales are on account.

a. Accounts receivable turnover ratio

b, Average number of days for payment

c. Merchandise inventory turnover ratio

d. Average number of days’ sales in merchandise inventory 

2. For each analysis, indicate whether a favorable or an unfavorable trend occurred from the prior to the current year. Give reasons for these trends.



Data from Problem17-1

The comparative financial statements for CyberOptic Corporation are in the Working Papers. The financial statements have been completed up to the trend analysis section. The following information is taken from the financial records of CyberOptic for two consecutive fiscal years ended December 31.

image text in transcribed

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Accounting Advanced

ISBN: 9780538447553

9th Edition

Authors: Claudia Bienias Gilbertson

Question Posted: