Jamcon.corp. had sales of 30 million in 2022 and their cost of goods sold was 13...

 

Transcribed Image Text:

Jamcon.corp. had sales of 30 million in 2022 and their cost of goods sold was 13 million Their simple statement of financial position is as follows: Assets 000 Liabilities 000 Cash 2000 Account Payable 1699 Account receivable 4100 Notes Payable 1100 Inventory 1550 Accrual 1320 Total Current Assets 7650 Total Current Liabilities 4119 NET PPE 10469 Long-term Debt 4000 Total Assets 18119 Total Liabilities 8119 Ordinary Share 10000 Total Liabilities and Equity 18119 Required: a) Calculate Account Payable days, Account Receivable days, and Inventory days of Jamcon corp. b) Calculate Cash Conversion Cycle (CCC) for Jamcon corp. c) Critically evaluate why a business holds inventory? (12 Marks) (5 Marks) (8 Marks) Jamcon.corp. had sales of 30 million in 2022 and their cost of goods sold was 13 million Their simple statement of financial position is as follows: Assets 000 Liabilities 000 Cash 2000 Account Payable 1699 Account receivable 4100 Notes Payable 1100 Inventory 1550 Accrual 1320 Total Current Assets 7650 Total Current Liabilities 4119 NET PPE 10469 Long-term Debt 4000 Total Assets 18119 Total Liabilities 8119 Ordinary Share 10000 Total Liabilities and Equity 18119 Required: a) Calculate Account Payable days, Account Receivable days, and Inventory days of Jamcon corp. b) Calculate Cash Conversion Cycle (CCC) for Jamcon corp. c) Critically evaluate why a business holds inventory? (12 Marks) (5 Marks) (8 Marks)