User Account

All Pages

What will be the decrease in working capital

Assignment Help Accounting Basics
Reference no: EM132783819

Question - Albinoni Ltd sells a single product and has annual sales of $200,000 per year. Inventories are held at a constant level and each product is sold at a mark-up of 25%. The average settlement period for trade receivables is 2 months and for trade payables it is 1 month. However, the business is considering changing these periods to 1.5 months and 3 months respectively. These changes are not expected to have any effect on the level of sales or inventories.

Required - What will be the decrease in working capital if the proposed changes are implemented?

Reference no: EM132783819

Questions Cloud

Explain the provisions relating to the carry forward : Briefly explain the provisions relating to the carry forward of business losses by an assessee that enjoys tax holiday U/S 46B of ITO 1984.
What is public finance : What is Public Finance? Explain in detail with example. What is Private Finance? Explain the difference between Public Finance and Private Finance.
What is the break-even point in sales dollars for brian co : In addition, it has a variable cost ratio of 40 percent and total fixed costs of $9,000. What is the break-even point in sales dollars for Brian's Company?
What type you put last on your list of things to look for : What type will you put last on your list of "things to look for?" What style of art do you NOT like? Name a specific style. Why do you feel that way?
What will be the decrease in working capital : Albinoni Ltd sells a single product and has annual sales of $200,000 per year. What will be the decrease in working capital
How much is the oust the turtle company cash on december : How much is the Oust the Turtle Company's cash on December 31, 2020? Cash on hand includes $3. Exchange rate on balance sheet date is P50.25
How does employee empowerment aid in building partnerships : How does employee empowerment aid in building partnerships between companies and their customers?
Describe the steps in the decision-making process : Describe the steps in the decision-making process, and predict how the personal attributes of the manager influence decision making.
Create a dynamic business website : Create a Dynamic Business Website - Change the Products Page such that it uses the SQLData Source Control and any of the DataView controls to load the Product

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.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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