Estimating Credit Sales - Financial Statements JB Hi-Fi - Aussie Stock Forums

# Thread: Estimating Credit Sales - Financial Statements JB Hi-Fi

1. ## Estimating Credit Sales - Financial Statements JB Hi-Fi

Would anyone know how to estimate Credit Sales in an Australian Financial Report. I'm specifically looking at JB HIFI at the moment and can only find information on their Receivables but don't know how to estimate Credit Sales from that.

Anyone know how to ascertain / glean Credit Sales from a financial statement which doesn't provide this information.

Thanks
Dominover..

2. ## Re: Estimating Credit Sales - Financial Statements JB Hi-Fi

In the annual report Note 12, trade receiveables. In the last 30 days JBH sold \$10.1m on credit. From the P&L revenue for the year was \$2,959,253m. So averaging for the month revenue was ~\$246m. 10.1/246 = Credit sales accounted for ~4% of sales.

NB: If you are trying to calculate credit card sales this method will not work as credit card sales are paid instantly into the merchant account so are not receiveable.

3. ## Re: Estimating Credit Sales - Financial Statements JB Hi-Fi

Originally Posted by McLovin
In the annual report Note 12, trade receiveables. In the last 30 days JBH sold \$10.1m on credit. From the P&L revenue for the year was \$2,959,253m. So averaging for the month revenue was ~\$246m. 10.1/246 = Credit sales accounted for ~4% of sales.

NB: If you are trying to calculate credit card sales this method will not work as credit card sales are paid instantly into the merchant account so are not receiveable.

Thanks for this. Is this the standard way of working out Credit Sales? I'm just wondering why JB HIFI wouldn't provided that figure.

4. ## Re: Estimating Credit Sales - Financial Statements JB Hi-Fi

Originally Posted by Dominover
Thanks for this. Is this the standard way of working out Credit Sales? I'm just wondering why JB HIFI wouldn't provided that figure.
Yes, I would assume it's the standard way of calculating credit sales given the information available. I can't think of any other way.

They don't disclose it because it's not required to be disclosed.