Exercise 22-20 (Algo) Cash conversion cycle LO A4 A manufacturer reports the data below. Accounts payable Accounts receivable Inventory Net sales Cost of goods sold Current Year $ 8,763 Prior Year $ 12,708 29,245 18,574 11,064 10,535 166,000 113,000 81,000 117,000 (1) Compute the number of days in the cash conversion cycle for each year. (2) Did the company manage cash more effectively in the current year? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the number of days in the cash conversion cycle for each year. Note: Use 365 days in a year. Round calculations to the nearest whole day.) Cash conversion cycle Current year days Prior year days

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Exercise 22-20 (Algo) Cash conversion cycle LO A4
A manufacturer reports the data below.
Accounts payable
Accounts receivable
Inventory
Net sales
Cost of goods sold
Current Year
$ 8,763
Prior Year
$ 12,708
29,245
18,574
11,064
10,535
166,000
113,000
81,000
117,000
(1) Compute the number of days in the cash conversion cycle for each year.
(2) Did the company manage cash more effectively in the current year?
Complete this question by entering your answers in the tabs below.
Required 1
Required 2
Compute the number of days in the cash conversion cycle for each year.
Note: Use 365 days in a year. Round calculations to the nearest whole day.)
Cash conversion cycle
Current year
days
Prior year
days
Transcribed Image Text:Exercise 22-20 (Algo) Cash conversion cycle LO A4 A manufacturer reports the data below. Accounts payable Accounts receivable Inventory Net sales Cost of goods sold Current Year $ 8,763 Prior Year $ 12,708 29,245 18,574 11,064 10,535 166,000 113,000 81,000 117,000 (1) Compute the number of days in the cash conversion cycle for each year. (2) Did the company manage cash more effectively in the current year? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the number of days in the cash conversion cycle for each year. Note: Use 365 days in a year. Round calculations to the nearest whole day.) Cash conversion cycle Current year days Prior year days
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