Question: can you please help me answer this question QUESTION FOUR [25] 4.1 Wonder Wholesalers' credit terms to Shina Stores are 30 days but Wonder Wholesalers

can you please help me answer this question

can you please help me answer this question QUESTION FOUR [25] 4.1

QUESTION FOUR [25] 4.1 Wonder Wholesalers' credit terms to Shina Stores are 30 days but Wonder Wholesalers is prepared to allow a 20% discount it Shina Stores pays the account within 10 days. Required: Calculate the cost (as a percentage) to Shina Stores of forgoing the discount (5) 42 The following information has been extracted from the financial records of Lulu Limited for the year ended 31 May 2020 R Cash flows from operating activities Cash flows from operating activities Additions to plant and equipment Cash flows from financing activities Proceeds from shares issued 720 000 (1 260 000) (1 260 000) 600 000 600 000 4.2.1 Calculate the cash balance as at 31 May 2020 it the cash balance on 31 May 2019 was R200 000 (favourable) (3) 4.2.2 Analyse the cash flows of the company, (7) 4.3 The monthly sales of a product sold by Molda Limited are 150 000 units. The purchase prica is R16 per unit. The carrying cost of inventory amounts to 25% of the purchase price. The ordering cost is R12 per order. Calculate: 4.3.1 Annual economic order quantity (EOC). (4) 4.32 The number of orders that need to be placed annually based on the EOQ (2) 4.3.3 The total ordering costs and carrying costs END OF QUESTION PAPER

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!