Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the following information pertains to xyz company.

The following information pertains to XYZ Company. Assume that all statement of financial position amounts...

60.1K

Verified Solution

Question

Accounting

image
The following information pertains to XYZ Company. Assume that all statement of financial position amounts represent both average and ending balance figures. Assume that all sales were on credit. Assets Property, plant and equipment Inventory Ascounts receivable (net) Cash and short-term investments Total Assets $ 210,000 20,000 30,000 45.000 $305.000 Equity and abilities Shareholders' equity-ordinary Non-current liabilities Current liabilities Total Equity and abilities $ 160,000 95,000 50.000 $395.000 Income Statement Sales revenue $ 120,000 Cost of goods sold 65.000 Gross margin 54,000 Operating expenses 30.000 Net income $24.000 Question: The current ratio and accounts receivable turnover for XYZ.company are respectively Current ratio 1.90, accounts receivable turnover 40 times 1. Current ratio 1.50, accounts receivable turnover 2.5 times IN Current ratio 1.30, accounts receivable turnover 2.2 times IV. Current ratio 1.90, accounts receivable turnover 1.8 times

Answer & Explanation Solved by verified expert
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!
Become a Member

Other questions asked by students