Compute the current ratio and current cash debt coverage

Assignment Help Accounting Basics
Reference no: EM132451111

Problem - Nordstrom, Inc. operates department stores in numerous states. Suppose selected financial statement data (in millions) for 2014 are presented below.


End of Year

Beginning of Year

Cash and cash equivalents

$ 795

$ 72.0

Accounts receivable (net)

2,035

1,942

Inventory

898

900

Other current assets

326

303

Total current assets

$4,054

$3,217

Total current liabilities

$2,014

$1,601

For the year, net credit sales were $8,258 million, cost of goods sold was $5,328 million, and net cash provided by operating activities was $1,251 million.

Required - Compute the current ratio, current cash debt coverage, accounts receivable turnover, average collection period, inventory turnover and days in inventory at the end of the current year.

Reference no: EM132451111

Questions Cloud

Nurse ensure before capillary blood glucose : What preparation does the nurse ensure before capillary blood glucose testing can be performed in the hospital setting?
Defining and operationalizing concepts : Concepts can and do have multiple meanings for the same group of people. Within nursing, a concept analysis has become an accepted mechanism
Successful worksite obesity prevention programs : The CDC has assessed a number of successful worksite obesity prevention programs as part of the CDC's LEAN Works! project. The complete list of toolkits can be
Write a response on subsequent discovery of facts : There are many ways a dishonest client can attempt to manipulate inventory. An auditor must look at the data with a different mindset, suspecting not only
Compute the current ratio and current cash debt coverage : For the year, net credit sales were $8,258 million, cost of goods sold was $5,328 million, Compute the current ratio and current cash debt coverage
What is the impact to the nursing profession : What is the impact to the nursing profession and to the public related to the projected nursing shortage?
Choose a borrowed theory and apply its framework : Choose a borrowed theory and apply its framework to an advanced nursing issue
Nursing theories and evidence-based practice : Provide one example that uses a specific middle-range theory to support your views.
Research on authority : Research on authority, competition, confrontation, dependency, empowerment, intergroup conflict, negotiation, organizational politics, power, or rational model.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd