Average does it take the firm to sell an inventory item

Assignment Help Financial Management

Reference no: EM13809255

Bob Gibson's has sales for the year of $311,400, cost of goods sold equal to 78 percent of sales, and an average inventory of $42,800. The profit margin is 6 percent and the tax rate is 35 percent. How many days on average does it take the firm to sell an inventory item?

Reference no: EM13809255

Questions Cloud

Develop a checklist that ibm analysts could use : Develop a checklist that IBM analysts could use in consulting projects that could help advice clients as they make a choice between Windows or Linux operating system software for their Web servers

Develop a similar class hierarchy for animals : Java programmers can use class hierarchies for the purposes of inheritance. Develop a similar class hierarchy for Animals

What is the firms pretax cost of debt : Birds of a Feather have 10-year bonds outstanding that carry an annual coupon of 8 percent. The bonds mature in 7 years and are currently priced at 110 percent of face value. What is the firm's pretax cost of debt?

What is the after tax cash flow from the sale : Consider an asset that costs $465,000 and is depreciated straight-line to zero over its six-year tax life. The asset is to be used in a four-year project; at the end of the project, the asset can be sold for $120,000. If the relevant tax rate is 35 p..

Average does it take the firm to sell an inventory item : Bob Gibson's has sales for the year of $311,400, cost of goods sold equal to 78 percent of sales, and an average inventory of $42,800. The profit margin is 6 percent and the tax rate is 35 percent. How many days on average does it take the firm to se..

Sources of cash : Which of the following are sources of cash?

Considering adding a miniature golf course to its facility : Outdoor Sports is considering adding a miniature golf course to its facility. The course would cost $138,000, would be depreciated on a straight-line basis over its five-year life, and would have a zero salvage value. The estimated income from the go..

A project has an annual operating cash flow : A project has an annual operating cash flow of $45,000. Initially, this four-year project required $3,800 in net working capital, which is recoverable when the project ends. The firm also spent $21,500 on equipment to start the project. This equipmen..

Compromising or contradiction its brand ethic credentials : How should a Western Multinational Enterprise develop its business in Myanmar? To more precisely, How should a business corporation achieve its market objectives in Myanmar without compromising or contradiction its brand ethic credentials?

User Account

All Pages