Question 141
An analyst has collected the following data about a firm:
Receivables turnover = 10 times Inventory turnover = 8 times Payables turnover = 12 times
What is the average receivables collection period, the average inventory processing period, and the average payables payment period respectively? (Assume 360 days in a year)
Receivables turnover = 10 times Inventory turnover = 8 times Payables turnover = 12 times
What is the average receivables collection period, the average inventory processing period, and the average payables payment period respectively? (Assume 360 days in a year)
Question 142
Advantage Corp.'s capital structure was as follows:
During 2000,
Advantage paid dividends of $3 per share on its preferred stock. The preferred shares are convertible into
2 0,000 shares of common stock. The 8 percent bonds are convertible into 30,000 shares of common stock. Net income for 2000 was $850,000. Assume the income tax rate is 30 percent. The basic earnings per share for 2000 is:
During 2000,
Advantage paid dividends of $3 per share on its preferred stock. The preferred shares are convertible into
2 0,000 shares of common stock. The 8 percent bonds are convertible into 30,000 shares of common stock. Net income for 2000 was $850,000. Assume the income tax rate is 30 percent. The basic earnings per share for 2000 is:
Question 143
Which statement(s) is/are true?
I). Merchandise shipped FOB destination is actually owned by the seller until the goods reach the receiving dock of the buyer.
II). If the ending inventory of the business is understated, the net income for the period will be understated and the retained earnings for the period will be overstated.
III). If the ending inventory of the business is overstated, the net income for the period will be overstated and the net income for the following period will also be overstated.
IV). When the value of ending merchandise inventory is overstated, the net income of the subsequent year will be understated by the amount of the overstatement.
I). Merchandise shipped FOB destination is actually owned by the seller until the goods reach the receiving dock of the buyer.
II). If the ending inventory of the business is understated, the net income for the period will be understated and the retained earnings for the period will be overstated.
III). If the ending inventory of the business is overstated, the net income for the period will be overstated and the net income for the following period will also be overstated.
IV). When the value of ending merchandise inventory is overstated, the net income of the subsequent year will be understated by the amount of the overstatement.
Question 144
Inventory at the end of the current period was erroneously understated. Which of the following is true as a result of the understatement not being corrected?
Question 145
Industry consolidation usually happens in the _____ stage.