Provide two examples of a carrying cost.

Provide two examples of a shortage cost.

Dandee Lions, Inc. has a cash balance of $125,000, accounts payable of $250,000, inventory of $205,000, accounts receivable of $350,000, notes payable of $70,000, and accrued wages and taxes of $85,000. How much net working capital does the firm need to fund?

Sow Tire, Inc. has sales of $1,550,000 and cost of goods sold of $1,000,000. The firm had a beginning inventory of $97,000 and an ending inventory of $82,000. What is the length of the days sales in inventory?

If a firm has a cash cycle of 55 days and an operating cycle of 80 days, what is its average payment period?

CM Enterprises estimates that it takes, on average, four days for customers payments to arrive, two days for the payments to be processed and deposited by the bookkeeping department, and three more days for the checks to clear once they are deposited. What is CMs collection float?

Suppose that Dunn Industries has annual sales of $3.75 million, cost of goods sold of $1,800,000, average inventories of $1,250,000 and average accounts receivable of $760,000. Assuming that all of Dunns sales are on credit, what will be the firms operating cycle? (4 points)

Suppose that Ken-Z Art Gallery has annual sales of $920,000, cost of goods sold of $560,000, average inventories of $250,000, average account accounts receivable of $35,000, and an average accounts payable balance of $69,500. Assuming that all of Ken-Zs sales are on credit, what will be the firms cash cycle?