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daser333 [38]
2 years ago
5

Mace Auto Parts Company sells to retail auto supply stores on credit terms of "net 60". Annual credit sales are $300 million (sp

read evenly throughout the year) and its accounts average 28 days overdue. The firm's variable cost ratio is 0.75 (i.e., variable costs are 75 percent of sales). When converting from annual to daily data or vice versa, assume there are 365 days per year. Determine Mace's average collection period.
A. 88 days

B. 44 days

C. 74 days

D. 60 days
Business
1 answer:
kotykmax [81]2 years ago
8 0

Answer:

Mace's average collection period is 88 days

Explanation:

Credit terms is "Net 60" which means the customer will naturally pay within 60 days. Further it is given that account average 28 days overdue. This means it takes 28 more days to collect the amount of receivables. Therefore the average collection period comes to

60 + 28 = 88 days.

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Your company works with freelance writers, and Jake, your colleague, is responsible for processing the freelancers' invoices. La
trapecia [35]

Answer:

The sentence uses an active voice

In this case active voice is not appropriate

Explanation:

Mode of expression can be passive or active.

Passive voice is one that emphasises the subject or person that is receiving an action.

An active voice describes a person that is performing an action.

In this scenario Jake accidentally input $560 instead of $650 on one of the invoices. The writer hasn't contacted you about the error yet.

So the email sent should just focus on what has happened to the writer and also to proffer a solution to the problem.

Since the writer did not complain or request for information on who made the mistake, stating that it was Jake that made the error is inappropriate.

A better statement would have been - An error was made on your invoice where the figure was inputted as $560 instead of $650. This however has been rectified and the invoice forwarded to you.

4 0
2 years ago
Determine whether the following statement is true or false, and explain your reasoning:
Triss [41]

Answer:

The statement is true

Explanation:

As a fact, I agree that with large sample sizes, even the small differences between the null value and the observed point estimate can be statistically significant.

To put it differently, any differences between the null value and the observed point estimate will be material and/or significant if the samples are large in shape and form.

It's also established that point estimate get more clearer and understandable, and the difference between the mean and the null value can be easily singled out if the sample size is bigger.

Suffix to say, however, while the difference may connote a statistical importance, the practical implication notwithstanding, will be looked and studied on a different set of rules and procedures, beyond the statistical relevance.

6 0
2 years ago
An economy produces only 1,000,000 computers valued at $2,000 each. Of these, 200,000 are sold to consumers, 300,000 are sold to
larisa [96]

Answer:

The answer is: The total value of GDP is $2 Billion

Explanation:

The formula for calculating GDP is:

GDP = C + I + G + (X – M) = $1,000 MM + $200 MM + $600 MM + $200 MM

GDP = $2,000 MM (or $2 Billion)

  • consumption: $1 billion ($400 MM consumers + $600 MM businesses)
  • investment: $200 MM (change in inventories)
  • government: $600 MM
  • exports - imports: $200 MM (no imports)

5 0
2 years ago
TechPro offers instructional courses in e-commerce website design. The company holds classes in a building that it owns.
myrzilka [38]

Answer:

1. fixed and indirect

2. variable and direct

3. variable and direct

4. fixed and indirect

5. fixed and indirect

6. variable and direct

Explanation:

<u>Fixed and variable costs</u>

A fixed cost is expected to be constant for a short term period whilst a variable cost is expected to vary in direct proportion to the number of units produced in this case it is the individual classes.

Depreciation expense on classroom building and on computers is a fixed cost that is expected to remain constant and the instructor wage varies with the number of classes thus a variable cost.

<u>Direct and Indirect costs</u>

A direct cost can be directly traced to the cost object by observation whist the indirect cost can not be directly traced on a cost object.

The instructors wage is a direct cost, his effort is seen with the success of the classes whist the depreciation expenses are indirect costs.

4 0
2 years ago
An investment pays you $30,000 at the end of this year, and $15,000 at the end of each of the four following years. What is the
Stella [2.4K]

Answer:

Present value of the cashflow discounted at 5% per year 76,815.65

Explanation:

First, we calculate the present value of the 4 years 15,000 dollar annuity:

C \times \frac{1-(1+r)^{-time} }{rate} = PV\\

C 15,000.00

time 4

rate 0.05

15000 \times \frac{1-(1+0.05)^{-4} }{0.05} = PV\\

PV $53,189.2576

Now, we discount two more year as lump sum as this is two year after the invesmtent:

\frac{Maturity}{(1 + rate)^{time} } = PV  

Maturity  53,189.26

time  2.00

rate  0.05000

\frac{53189.2575624354}{(1 + 0.05)^{2} } = PV  

PV   48,244.2245

Finally we also discount the 30,000 by one year

30,000 / 1.05 = 28571.43

<em><u>We add up both to get the present value:</u></em>

48,244.22 + 28,571.43 =  76,815.65  

8 0
2 years ago
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