A firm's days of sales outstanding are 23.4, days ofinventory on hand are 45.9, and the number of days of payables is 34.7. When credit sales are made by the firm, the buyer agrees to pay the balances owed in30 days. What is the firm's cash conversion cycle?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter18: The Management Of Accounts Receivable And Inventories
Section: Chapter Questions
Problem 10QTD
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A firm's days of sales outstanding are 23.4, days ofinventory on hand are 45.9, and the number of days of payables is 34.7. When credit sales are made by the firm, the buyer agrees to pay the balances owed in30 days. What is the firm's cash conversion cycle?

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