With the Proper Changes It Is Believed That Ideko's Credit

question 44

Multiple Choice

With the proper changes it is believed that Ideko's credit policies will allow for an account receivables days of 60.The forecasted accounts receivable for Ideko in 2016 is closest to:

• A)$14,525
• B)$16,970
• C)$22,710
• D)$19,690
• E)$23,548

Understand motivational theories including expectancy theory, equity theory, and their application in organizational settings.

Understand the calculation and interpretation of net present value for new projects.

Comprehend the mechanics and financial impact of initial public offerings (IPOs) and rights offerings on a company.

Calculate the outcome of various financing options including IPOs, rights offerings, and Dutch auctions.

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Definitions:

Net Income

The total profit of a company after all expenses, taxes, and costs have been deducted from total revenue.

Income Tax Expense

The amount of money a company or individual owes to the government based on the taxable income for a given period.

Average Collection Period

The average number of days it takes for a business to collect its accounts receivable.

Accounts Receivable

Money owed to a company by its customers for goods or services that have been delivered or used but not yet paid for.