Given the Following Information, Calculate for Year 2 the Number

question 32

Essay

Given the following information, calculate for Year 2 the number of days of working capital financing the firm will need to obtain from other sources?
$\begin{array}{llcc} &\text {Year 1 } & \text {Year 2 }\\ \text { Accounts Receivable, net } &\$518&\$562\\ \text {Accounts Payable } &203&192\\ \text {Inventory } &535&564\\\\ \text { Credit Sales } &3,205&3,636\\ \text { Cost of GoodsSold. } &2,037&2,294\\ \text {Selling and Admin Expense } &1,081&1,131\end{array}$

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Definitions:

Economic Recovery

The process by which a nation's economy rebounds from a period of recession or economic downturn, characterized by a rise in employment, consumer spending, and growth in GDP.

Financial Burdens

The strain or stress placed on an individual's or entity's finances due to debts, obligations, or other financial commitments.

Downsizing

The reduction of an organization's workforce to improve its efficiency or reduce costs.

Workforce Reduction Programs

Initiatives taken by organizations to decrease the number of employees through methods such as layoffs, buyouts, or retirements to reduce costs and improve efficiency.