The Following Information Applies to Markham Company Additional Information: Net Credit Sales Equal $220,000 and Beginning Accounts

question 74

Essay

The following information applies to Markham Company: $\begin{array}{|l|r|}\hline \text { Assets } \\\hline \text { Cash }& \$ \quad 6,000 \\\hline \text { Accounts receivable } & 13,000 \\\hline \text { Inventory } & 16,000 \\\hline \text { Plant and equipment, net } & 21,000 \\\hline \text { Land } & \underline { 19,000} \\\hline \text { Total assets }& \underline { \$ \quad 75,000 }\\\hline \\\hline \text { Liabilities and stockholders' equity }\\\hline \text { Accounts payable }& \$ \quad5,000\\\hline \text { Salaries payable } & 10,000 \\\hline \text { Bonds payable (due 2020) } & 12,000 \\\hline \text { Capital stock, no par } & 23,000 \\\hline \text { Retained earnings } & \underline { 25,000} \\\hline \text { Total liabilities and stockholders' equity }& \underline { \$ \quad 75,000 }\\\hline\end{array}$ Additional information: Net credit sales equal $220,000 and beginning accounts receivable were $11,000.
Required:
Compute Markham's:
(a)Quick ratio
(b)Current ratio
(c)Working capital
(d)Accounts receivable turnover
(e)Average days to collect receivables
Round your answers to two decimal places.

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Definitions:

Project Quality Manager

An individual responsible for ensuring that the project's outputs, processes, and systems meet the required quality standards.

Client's Product

A good or service that is produced or provided specifically to meet the needs or requirements of a client.

Darnall-Preston Complexity Index

A framework used to assess the complexity of managing projects, based on dimensions such as size, diversity, and uncertainty.

Complexity

The state or quality of being intricate or complicated, often making analysis, management, or understanding challenging.