The following information was obtained from the fiscal year 2015 and 2014 included in Form 10-K of Kellogg Company and Subsidiaries and General Mills, Inc. and Subsidiaries. (Year-ends for Kellogg’s are January 2, 2016, and January 3, 2015, and for General Mills are May 31, 2015, and May 25, 2014.) Assume all sales are on credit for both companies.
Required
1. Using the information provided, compute the following for each company for 2015:
a. Accounts receivable turnover ratio
b. Number of days’ sales in receivables
c.
d. Number of days’ sales in inventory
e. Cash-to-cash operating cycle
2. Comment briefly on the liquidity of each of these two companies.
Enjoy 24/7 customer support for any queries or concerns you have.
Phone: +1 213 3772458
Email: support@gradeessays.com