... 1648.3/2594.9 =0.27 Day Debtors Days Debtors = Year End Trade Debtors/Sales x 365 = Revenue from sale of goods = 24473 m$ for 1 year = 24473/365 = 67m$ for 1 day Account receivable = 258.6 m$ Credit to Customers - Year 2002 = 258.6/67= 4 days credit to customers Days Inventory Inventory = 1838.4 m$ Cost of sales = 18807.8 m$ = 18807.8/365 = 51.5 m$ for 1 day Days Inventory = 1838.4/51.5 = 35.6 days Days Creditors Accounts Payable + Accruals = 2440.7 m$ Cost of sales = 18807.8 m$ Days Creditors = 18807.8/365 = 51.5 m$ for 1 day Debt/Equity Ratio = 3901.1/1822.5 = 2.14 Similar calculations were made for different years for Woolworths and Coles and arrived at following data. Woolworth (Table 6) Woolworth 2000 2001 2002 Current Ratio 0.90 0.80 0.83 Acid Test 0.26 0.22 0.24 Revenue from sale of goods 20019.9 20915.1 24473 Cost of sales 15353.7 16034.6 18807.8 Debt / Equity Ratio 1.95 2.33 2.14 Day Debtors 3 days 3.5 4 days Day Inventory 39 39.5 35.5 Day Creditors 45 47 47 Nos of days to Finance Working Capital - 3 days - 4 days - 7.5 days Working Capital - 249.8 - 570.9 -509.8 Coles Myer Ltd (Table 7) Coles 2000 2001 2002 Current Ratio 1.23 1.35 1.37 Acid Test 0.26 0.35 0.41 Cost of Sales 16994.8 17771.3 19419.9 Revenue from Sales of Goods 24168.0 23779.6 25688.7 Debt/Equity 1.08 1.54 1.50 Day Debtors 7.36 6.1 4.2 Day Inventory 62.66 59.6 52.7 Day Creditors 48.2 44.4 42 Nos of days to Finance Working Capital 22 21 15 days Working Capital 704.2 1027.6 1097.2 Discussion Working Capital (Refer to table 4 ...

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