1 playworld inc sells playground equipment to schools and, Ask an Expert

Accounting

1. Playworld, Inc. sells playground equipment to schools and municipalities. Invoices are mailed at the end of each month for all goods shipped during that month; credit terms are net 30 days. Sales and accounts receivable data for 2008, 2009, and 2010 were as follows:
2008 2009 2010
Sales $2,560,975 $2,663,414 $2,903,121
Year-end receivables $328,330 $342,120 $396,859

A. Calculate the growth rates in sales and receivables during 2009 and 2010.
B. Do your calculations indicate any potential problems with Playworld's receivables? If so, suggest a possible explanation for your findings.

View complete question

Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M9981890

Have any Question?Write your Review or question?

Related Questions in Accounting Basics

Case study oneon 1 january 2017 nicolaidis ltd purchased

Case Study One: On 1 January 2017, Nicolaidis Ltd purchased two identical new machines at a total cost of $700 000 plus GST. It was estimated that the machines would have a useful life of 10 years and a residual value of ...

Question 1 in april 2018 abdullah masud editor of the arab

Question 1: In April 2018, Abdullah Mas'ud, editor of The Arab Newspaper (AN), decides to reduce the price per newspaper from SR0.70 in April 2018 to SR0.50 starting 1 May 2018. Actual paid circulation in April is 7.5 mi ...

Question - hardcastle ltd had sales of 3 000 000 and net

Question - Hardcastle Ltd. had sales of $3 000 000 and net operating income of $900 000. Operating assets during the year averaged $1 500 000. The manager of Hardcastle is considering the purchase of a new machine which ...

Question - morgan jennings a geography professor invests

Question - Morgan Jennings, a geography professor, invests $99,000 in a parcel of land that is expected to increase in value by 15 percent per year for the next ten years. He will take the proceeds and provide himself wi ...

Question - the following information is available for the

Question - The following information is available for the 21,000 units of X Company's one product sold in 2017: Selling price $46.00 Variable costs per unit $30.00 Total fixed costs $756,000 In 2018, X Company expects sa ...

Question reflect back on what you have learned in this

Question: Reflect back on what you have learned in this course about how to construct high-quality arguments for positions. Give an example of how the ability to think logically and to construct good arguments could help ...

Question - larkspur corporation has elected to use the fair

Question - Larkspur Corporation has elected to use the fair value option for one of its notes payable. The note was issued at an effective rate of 10% and has a carrying value of $15,000. At year-end, Larkspur's borrowin ...

Question marion the monopolist faces the following demand

Question: Marion the monopolist faces the following demand function: Q = 22,000 - 8P. She faces the following cost function: TC = 5,000,000 + 140Q. Calculate the price and quantity at which profits are a maximum. What ar ...

Have you ever been involved in the budget process at your

Have you ever been involved in the budget process at your organization? If so, describe your role and responsibilities. Do you think people at your level in the organization should provide budget inputs, and why or why n ...

Question - a machine costing 350000 has a salvage value of

Question - A machine costing $350,000 has a salvage value of $30,000 and a useful life of 10 years. They expect the machine to produce 500,000 units. In year 1 it produced 40,000 and in year 2 30,000. Using the units of ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Accounting Basics Expert