FIN 571 Week 3 DQ 1 FOR MORE CLASSES VISIT www. fin571tutor. com
Why are interest rates on short-term loans not necessarily comparable to each other? Give three possible reasons.
FIN 571 Week 3 DQ 2 FOR MORE CLASSES VISIT www. fin571tutor. com
Optical Supply Company offers credit terms of 2 / 10, net 60. If Optical Supply is considering a change in its credit terms to one of those indicated, explain whether the change should increase or decrease sales.( a) 2 / 10, net 30,( b) net 60,( c) 3 / 15, net 60,( d) 2 / 10, net 30, 30 extra
from 9 to 11.5 times per year. If all of these changes are adopted, what will be the firm ' s new operating cycle? 25. On average, D & M sells its inventory in 37 days, collects on its receivables in 3.4 days, and takes 35 days to pay for its purchases. What is the length of the firm’ s operating cycle? 26. A firm has an inventory turnover rate of 15.7, a receivables turnover rate of 20.2, and a payables turnover rate of 14.6. How long is the cash cycle?
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FIN 571 Week 3 DQ 1 FOR MORE CLASSES VISIT www. fin571tutor. com
Why are interest rates on short-term loans not necessarily comparable to each other? Give three possible reasons.
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FIN 571 Week 3 DQ 2 FOR MORE CLASSES VISIT www. fin571tutor. com
Optical Supply Company offers credit terms of 2 / 10, net 60. If Optical Supply is considering a change in its credit terms to one of those indicated, explain whether the change should increase or decrease sales.( a) 2 / 10, net 30,( b) net 60,( c) 3 / 15, net 60,( d) 2 / 10, net 30, 30 extra
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