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accounts Rece The WES leadership team tried to evaluate its credit policy but discovered that the initial growth of the company happened so quickly they never formalized their credit procedures. WES has provided a sample invoice and the most recent aged receivables for your reference. Taylor is unsure where to start to document the administration of accounts receivable and is looking for your advice. w Wind Energy Systems Balance Sheet March 31, 2022 Assets Cash Accounts Receivable (net) Inventories Total Current Assets Plant and Equipment Less: Accumulated Amort Land 300,000 2,500,000 1,000,000 3,800,000 6,000,000 2,000,000 4,000,000 80,000 7,880,000 Liabilities Accounts Payable Notes Payable (current) Total Current Liabilities Long-term Bank Loan Shareholders Equity Common Stock (1.7M Shares) Retained Earnings 2,150,000 350,000 2,500,000 2,500,000 1,700,000 1,180,000 WES Competitor 4.39% 5.75% 4.29% 6.90% 11.74% 9.20% 3.08 X 4.35 x 4.62 X 6.5 x Ratio analysis Profit margin Return on assets Return on equity Receivable turnover Inventory turnover Accounts payable turnover Capital asset turnover Total asset turnover Current ratio Quick ratio Debt to total assets Interest coverage 2.15 X 3.8 x 1.89 X 0.98 X 1.52 X 1.12 X 63.45% 3.08 X 1.85 1.20 1.45 1.10 25.05% 5.35 x Aged Accounts kecel Month of Sales Age of Account Mar-2022 0-30 Feb-2022 31-60 Jan-2022 61-90 December 2021 & Earlier 91+ Total Accounts Receivable Receivable Balance Outstanding 150,000.00 300,000.00 550,000.00 1,500,000.00 2,500,000.00 Sample Invoice INVOICE Wind Energy Systems Capture the Breeze 101 Windy Ave Brandon 204-989-9468 DATE: INVOICE. FOR: February 22, 2021 100 Windmill Install BILL TO: Customer ABC DESCRIPTION HOURS RATE AMOUNT S accounts Rece The WES leadership team tried to evaluate its credit policy but discovered that the initial growth of the company happened so quickly they never formalized their credit procedures. WES has provided a sample invoice and the most recent aged receivables for your reference. Taylor is unsure where to start to document the administration of accounts receivable and is looking for your advice. w Wind Energy Systems Balance Sheet March 31, 2022 Assets Cash Accounts Receivable (net) Inventories Total Current Assets Plant and Equipment Less: Accumulated Amort Land 300,000 2,500,000 1,000,000 3,800,000 6,000,000 2,000,000 4,000,000 80,000 7,880,000 Liabilities Accounts Payable Notes Payable (current) Total Current Liabilities Long-term Bank Loan Shareholders Equity Common Stock (1.7M Shares) Retained Earnings 2,150,000 350,000 2,500,000 2,500,000 1,700,000 1,180,000 WES Competitor 4.39% 5.75% 4.29% 6.90% 11.74% 9.20% 3.08 X 4.35 x 4.62 X 6.5 x Ratio analysis Profit margin Return on assets Return on equity Receivable turnover Inventory turnover Accounts payable turnover Capital asset turnover Total asset turnover Current ratio Quick ratio Debt to total assets Interest coverage 2.15 X 3.8 x 1.89 X 0.98 X 1.52 X 1.12 X 63.45% 3.08 X 1.85 1.20 1.45 1.10 25.05% 5.35 x Aged Accounts kecel Month of Sales Age of Account Mar-2022 0-30 Feb-2022 31-60 Jan-2022 61-90 December 2021 & Earlier 91+ Total Accounts Receivable Receivable Balance Outstanding 150,000.00 300,000.00 550,000.00 1,500,000.00 2,500,000.00 Sample Invoice INVOICE Wind Energy Systems Capture the Breeze 101 Windy Ave Brandon 204-989-9468 DATE: INVOICE. FOR: February 22, 2021 100 Windmill Install BILL TO: Customer ABC DESCRIPTION HOURS RATE AMOUNT S

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