Use the Information for the Question(s)below

question 8

Multiple Choice

Use the information for the question(s) below. Glenside Industries is a domestic machinery manufacturer which specializes in the production of snowblowers.The above figures show the anticipated sales over the next four quarters.Glenside carries inventory equal to 25% of next quarter's sales,has accounts payable of 15% of next quarter's sales,and accounts receivable of 23% of this quarter's sales.
-If its net income is 10% of sales,in which quarter(s) is it expected that Glenside's seasonal working capital needs will be the smallest?

• A)Q1
• B)Q2
• C)Q3
• D)Q4
• E)Q5

---

Definitions:

Research Hypothesis

Statement regarding an expected or predicted relationship between variables.

Ordinal Variables

Variables that represent categories with a natural order or ranking, but where the distances between categories are not necessarily equal.

Spearman Rank-Order

A nonparametric measure of rank correlation that assesses how well the relationship between two variables can be described using a monotonic function.

Pearson Correlation

A measure of the linear correlation between two variables X and Y, giving a value between -1 and 1 which indicates the extent of their linear relationship.