This paper circulates around the core theme of Calculate The Greek Connection’s net working capital in 2012. b. Calculate the cash conversion cycle of The Greek Connection in 2012. c. The industry average accounts receivable days is 30 days. What would the cash conversion cycle for The Greek Conne 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.
THE GREEK CONNECTION
Balance Sheet
As of December 31, 2012 (in $ thousand)
|
|
Assets
|
Liabilities and Equity
|
|
Cash
Accounts receivable
Inventory
|
$ 2,000
3,950
1,300
|
Accounts payable
Notes payable
Accruals
|
$ 1,500
1,000
1,220
|
|
Total current assets
|
$ 7,250
|
Total current liabilities
Long-term debt
|
$ 3,720
3,000
|
|
Net plant, property,
and equipment
|
$ 8,500
|
Total liabilities
Common equity
|
$ 6,720
9,030
|
|
Total assets
|
$ 15,750
|
Total liabilities and equity
|
$ 15,750
|
a. Calculate The Greek Connection’s net working capital in 2012.
b. Calculate the cash conversion cycle of The Greek Connection in 2012.
c. The industry average accounts receivable days is 30 days. What
would the cash conversion cycle for The Greek Connection have been in
2012 if it had matched the industry average for accounts receivable
days?
5.Assume the credit terms offered to your firm by
your suppliers are 3/5, Net 30. Calculate the cost of the trade credit
if your firm does not take the discount and pays on day 30.
