Problem:
Nugent, Inc, has a gross profit margin of 25.49 percent on sales of $7,42,976 and total assets of $6,872,416. The company has a current ratio of 2.69 times, accounts receivable of $1,438,163 cash and marketable securities of $197,562, and current liabilities of $831,240.
Required:
Question 1: What's Nugent's level of current assets?
Question 2: How much inventory does the firm have?
Question 3: What is the inventory turnover ratio?
Question 4: What is Nugent's day's sales outstanding?
Question 5: If management wants to set a target DSO of 30 days, what should Nugent's accounts receivable be?
Note: Please show guided help with steps and answer.