Jim Shorts Company makes clothing for schools. Sales in 20X1 were $4,740,000. Assets were as...
60.1K
Verified Solution
Link Copied!
Question
Accounting
Jim Shorts Company makes clothing for schools. Sales in 20X1 were $4,740,000. Assets were as follows:
| Cash | $ | 188,000 | |
| Accounts receivable | 804,000 | ||
| Inventory | 423,000 | ||
| Net plant and equipment | 585,000 | ||
| Total assets | $ | 2,000,000 | |
a. Compute the following: (Round your answers to 2 decimal places.)
1) Accounts Receivable Turnover
2) Inventory turnover
3) Fixed asset turnover
4) Total Asset turnover
b. In 20X2, sales increased to $5,010,000 and the assets for that year were as follows:
| Cash | $ | 188,000 | |
| Accounts receivable | 928,000 | ||
| Inventory | 1,056,000 | ||
| Net plant and equipment | 585,000 | ||
| Total assets | $ | 2,757,000 | |
Compute the following: (Round your answers to 2 decimal places.)
1) Accounts Receivable Turnover
2) Inventory turnover
3) Fixed asset turnover
4) Total Asset turnover
c. Is there an improvement or a decline in the total asset turnover?
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.