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MBA,MCS,M.phil
Devry University
Jan-2008 - Jan-2011
MBA,MCS,M.Phil
Devry University
Feb-2000 - Jan-2004
Regional Manager
Abercrombie & Fitch.
Mar-2005 - Nov-2010
Regional Manager
Abercrombie & Fitch.
Jan-2005 - Jan-2008
Barans Company currently has an average collection period of 55 days and annual sales of $1 billion. Assume a 365-day year.
a. What is the firm’s average accounts receivable balance?
b. If the variable cost of each product is 65 percent of sales, what is the average investment in accounts receivable?
c. If the equal-risk opportunity cost of the investment in accounts receivable is 12 percent, what is the total annual cost of the resources invested in accounts receivable?
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