Saturday, 14 June 2014

cash conversion cycle

Dewey Corporation has the following data, in thousands. Assuming a 365-day year

Dewey Corporation has the following data, in thousands. Assuming a 365-day year, what is the firm's cash conversion cycle?



Annual sales = $55,000

Annual cost of goods sold = $38,500

Inventory = $4,000

Accounts receivable = $2,000

Accounts payable = $2,400



Answer

36 days

21 days

28 days

27 days

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24 days

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