following financial information are extracted from Company B’s information system. Trade Receivables (Debtors) £21,920 Trade Payables (Creditors) £17,810 Opening Inventory £9,316 Average debtors repayment period 29 days Average creditors repayment period 32 days Average inventory £9,590 Current ratio 2:1

Required: 

a) Calculate Closing Inventory. 

b) Calculate Sales for the period.

 c) Calculate purchases for the period.

 d) Calculate the balance of Bank account. 

e) Calculate Quick ratio. 

Note: show all workings.

Answer rating: 100% (QA)

SOLUTION a To calculate Closing Inventory we need to use the following formula Closing Inventory Opening Inventory Purchases Cost of Goods Sold We don... View the full answer