Page 37 - A Level Business Studies - Financial Analysis Tasks
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Receivables Ratio


















         Task 4.a

         Look at the trading section of the Income Statement and the Current Assets section of the
         Statement of Financial Position to calculate the Receivables Days Ratio.



           Income Statement - Trading Account (Extract)
                                                                                Receivables
                                                               £           £                               Days
                                                                                Days Ratio
          Sales Revenue                                             831,345


          Less Cost of Sales
          Opening Inventory (Stock)                      45,123

          Add Purchases                                 456,123
                                                        501,246
          Less Closing Inventory (Stock)                 34,125     467,121
          Gross Profit                                              364,224





          Statement of Financial Position (Extract)            £           £
          CURRENT ASSETS
          Inventory (Stock)                                           34,125
          Trade Receivables (Debtors)                                 45,879
          Cash & Cash Equivalents (Cash & Bank)                        5,678
                                                                     85,682











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