Question

Rutner Rope – Balance Sheet
Current Assets	(Thousands)
Cash	23.2
Net Receivables	109.5
Inventories	68.6
Other Current Assets	4.6
Total Current Assets	171
Net Fixed Assets	466.8
Other Noncurrent Assets	715.7
Total Assets	1353.5
Liabilities and Shareholders' Equity
Current Liabilities
Accounts Payable	58.1
Short-Term Debt	4
Other Current Liabilities	103.8
Total Current Liabilities	155.9
Long-Term Debt	849.8
Other Noncurrent Liabilities	95.5
Total Liabilities	1320.7
Revenue	2456.3
COGS	2068.4
Gross Profit	387.9

1. What are accounts payable in days?

2. What are inventories in days?

3. What are accounts receivable in days?

4. What is Rutner’s Rope’s cash-to-cash metric?

Answer 1

Answer:

Accounts Payable In Days = 10.25 days

Inventories In Days = 12.11 days

Accounts Receivable In Days = 16.27 days

Rutner’s Rope’s cash-to-cash metric = 18.13 days

Workings :