What proportion of wonder customers pay

Reference no: EM13289417

Wonder Dog Leash Company is examining their accounts receivable patterns. Wonder's customers are offered terms of 1/10 net 30. Of their receivables, $150,000 is current, $75,000 is 1 month overdue, $30,000 is two months overdue, and $20,000 is over two months overdue.

a. What proportion of Wonder's customers pay their bills on time?
b. What is the effective cost of Wonder's terms of trade credit?
c. What might happen to their receivables balance if they changed their terms to 1/15 net 30? To 2/10 net 30?

Reference no: EM13289417

Questions Cloud

Determine the receivables turnover in each year : Suppose the Robinson Company had a cost of goods sold of $1,000,000 in 2010 and $1,200,000 in 2011.

How much money can the firm borrow : Monthly fees for the usage of the warehouse are $500 plus 0.5 percent of the inventory's value. If Beckheart has saleable inventory of $2 million.

What will be the addresses of the port b and port c : Sketch and explain the interface of PPI 82C55A to the 8086 microprocessor in minimum mode.Interface 8 LEDs to the port B of 82C55A. Interface 8 keys to theport A. Assume that port A of 82C55A is located in the I/O memoryspace at FF0H.

What is the magnitude of the frictional on the block : The coefficients of friction between a block of mass 0.5 kg and a surface are ?s = 0.75, What is the magnitude of the frictional force (in newtons) on the block if the block is at rest

What proportion of wonder customers pay : Wonder Dog Leash Company is examining their accounts receivable patterns. Wonder's customers are offered terms of 1/10 net 30. Of their receivables, $150,000 is current, $75,000 is 1 month overdue, $30,000 is two months overdue, and $20,000 is ove..

Confidence interval narrower and more precise : Which of the following will make a confidence interval narrower and more precise?

Calculate future value of annuities : Calculate Future Value of Annuities. What is the future value of $1,000 invested each month for 10 years at 5 percent, 6 percent, 8 percent, and 10 percent, compounded monthly?

Find the output voltage when the input voltage to the bridge : It is used in a quarter Wheatstone bridge with three other fixed 100 W resistors. If the strain gauge constant is 2.0, find the output voltage when the input voltage to the bridge is 10 Volts and the strain is 500 microstrain.

What effects deep currents : What effects deep currents? What is sea water? And, with at least one example, explain how these elements affect one another and how will the El Nino Southern Oscillation pattern in the Pacific Ocean have an effect on where you live? Why?

User Account

All Pages