What will be the firm operating cycle

Assignment Help Financial Management
Reference no: EM131502858

Suppose that Dunn Industries has annual sales of $4.05 million, cost of goods sold of $1,630,000, average inventories of $1,096,000, and average accounts receivable of $730,000. Assume that all of Dunn’s sales are on credit.

What will be the firm’s operating cycle? (Use 365 days a year. Do not round intermediate calculations. Round your final answer to 2 decimal places.)

Reference no: EM131502858

Questions Cloud

The most important recipient of fdi in recent years : How would you explain the fact that China emerged as one of the most important recipient of FDI in recent years?
What is the annual rate of return on your investment : What is the annual rate of return on your investment in Golden common stock if you purchased shares at the stock’s actual listed price of $65 per share?
Considering a stock investment in one of two firms : You are considering a stock investment in one of two firms both of which operate in the same industry.
What is the maximum possible subscription price : What is the maximum possible subscription price?
What will be the firm operating cycle : Suppose that Dunn Industries has annual sales of $4.05 million, What will be the firm’s operating cycle?
What will be the firm cash cycle : Assuming that all of LilyMac’s sales are on credit, what will be the firm’s cash cycle?
Fast fourier transform functions in matlab : You should make use of the inbuilt 2D Fast Fourier Transform functions in Matlab.
Transforms of largest magnitude from image representation : Write a Matlab program that enables you to specify and keep only a proportion of the Fourier Transforms of largest magnitude from an image representation.
Developing countries acquired high-tech us firms : Recently, many foreign firms from both developed and developing countries acquired high-tech U.S. firms.

Reviews

Write a Review

Financial Management Questions & Answers

  What is the sales growth rate

The Company's financial statements for year 2525 show that year-end Total assets of $2,460 include Plant, property, & equipment (PP&E) of $2,100 . The assets are financed by Debt of $760 and Stockholders' equity of $1,700. The annual Sales equal $11,..

  Bond issue outstanding with maturity

IBM has a bond issue outstanding with 14 years to maturity. When originally issued the bond had a par value of $1,000, a stated coupon rate of 12% and 15 years to maturity. Currently, similar risk bonds in the market place are yielding 8%. What would..

  Calculate the annual percentage rate of forgoing

Calculate the annual percentage rate of forgoing the cash discount under each of the given credit terms.

  What is the sustainable growth rate

The company maintains a constant 20 percent dividend payout ratio. No external equity financing is possible. What is the sustainable growth rate?

  Calculate the new value of total capital ratios

Onshore Bank has $32 million in assets, with risk-adjusted assets of $22 million. Core Equity Tier 1 (CET1) capital is $1,000,000, additional Tier I capital is $340,000, and Tier II capital is $424,000. Calculate the new value of CET1, Tier I, and to..

  Two popular approaches used by automobile dealers

The following are two popular approaches used by automobile dealers: Buying Versus Leasing You are interested in a $25,000 car. A simplified leasing contract includes the following: purchase cost of $12,000 at the end of the lease. What are the “impl..

  Purchasing power parity theory is looking at equilibrium

Purchasing Power Parity (PPP) theory is looking at equilibrium and International Fisher Effect (IFE) theory is based on expected inflation rates. Do you think this is a big difference or can lead to different outcomes?

  Pays no dividends and ignore itnerest on margin loan

You purchased 200 shares of ABC common stock on margin at 50$ per share. Assume the initial margin is 50% and the maintenance margin is 30%. You will get a margin call if the stock drops below ___. (assume the stock pays no dividends and ignore itner..

  About weighted average cost of capital

What weights should we use when calculating the WACC, market value weights or accounting book values. To do this find the market value of equity (no. of shares times the share price) and the market value of financial debt (if no traded debt you may n..

  What is the after-tax cash flow of equipment at disposal

Project cash flow and NPV. The managers of Classic Autos Incorporated plan to manufacture classic Thunderbirds (1957 replicas). The necessary foundry equipment will cost a total of $4,300,000 and will be depreciated using a five-year MACRS life, Proj..

  Compare portfolios a and b using both first and second order

Assume that security returns are normally distributed. - Compare portfolios A and B, using both first- and second-order stochastic dominance:

  When will this equipment affect the projects cash flows

A profitable firm is considering a 7-year project that requires $135,000 of new equipment which will be depreciated as MACRS 5-year property, after which time it will be worthless. When will this equipment affect the project's cash flows?

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