This paper circulates around the core theme of Aspero requires a short-term loan of $100,000 to finance its working capital requirements. two banks are considering aspero’s loan request but each bank requires together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 99. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.
posted a question May 06, 2012 at 4:11am Q analyzing credit constraints for a bank loan aspero, inc. 1 answer below » posted a question May 06, 2012 at 4:11am Q analyzing credit constraints for a bank loan aspero, inc. has sales of approximately $500,000 per year. Aspero requires a short-term loan of $100,000 to finance its working capital requirements. two banks are considering aspero’s loan request but each bank requires certain minimum conditions be satisfied. bank america requires at least a 25% gross margin on sales, and bank boston requires a 2:1 current ratio. the following information is available for aspero for the current year: – sales returns and allowances are 10% of sales – purchases returns View complete question » posted a question May 06, 2012 at 4:11am Q analyzing credit constraints for a bank loan aspero, inc. has sales of approximately $500,000 per year. Aspero requires a short-term loan of $100,000 to finance its working capital requirements. two banks are considering aspero’s loan request but each bank requires certain minimum conditions be satisfied. bank america requires at least a 25% gross margin on sales, and bank boston requires a 2:1 current ratio. the following information is available for aspero for the current year: – sales returns and allowances are 10% of sales – purchases returns and allowances are 2% of purchases – sales discounts are 2% of sales – purchase discounts are 1% of purchase Document Preview: posted a question May 06, 2012 at 4:11am Q analyzing credit constraints for a bank loan aspero, inc. has sales of approximately $500,000 per year. Aspero requires a short-term loan of $100,000 to finance its working capital requirements. two banks are considering aspero’s loan request but each bank requires certain minimum conditions be satisfied. bank america requires at least a 25% gross margin on sales, and bank boston requires a 2:1 current ratio. the following information is available for aspero for the current year: – sales returns and allowances are 10% of sales – purchases returns and allowances are 2% of purchases – sales discounts are 2% of sales – purchase discounts are 1% of purchase – ending inventory is $138,000 – cash is 10% of accounts receivable – credit terms to aspero’s customers are 45 days – credit terms aspero receives from its suppliers are 90 days – purchases for the year are $400,000 – ending inventory is 38% greater than beginning inventory – accounts payable are the only current liability access whether aspero, inc. meets the credit constraint for a loan from either or both banks. show computations.
Additional Requirements Level of Detail: Show all work Attachments: Q.docx View less » Jul 28 2015 10:07 AM
