OPERATING AND CASH CONVERSION CYCLES. Consider the following selected financial data for the Cloud 9 Retailer: Beginning Item $5.000 Ending Inventory 1.600 $7.000 Accounts receivable 2.700 2.400 Accounts pay iable Net credit sales S50.000 4,800 Cost of goods sold 30.000 Requirement: Calculate the operating and cash conversion cycles.

OPERATING AND CASH CONVERSION CYCLES. Consider the following selected financial data for the Cloud 9 Retailer: Beginning Item $5.000 Ending Inventory 1.600 $7.000 Accounts receivable 2.700 2.400 Accounts pay iable Net credit sales S50.000 4,800 Cost of goods sold 30.000 Requirement: Calculate the operating and cash conversion cycles.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Problem 8
OPERATING AND CASH CONVERSION CYCLES. Consider the following selected
financial data for the Cloud 9 Retailer:
Beginning
Item
$5.000
Ending
Inventory
1.600
$7.000
Accounts receivable
2.700
2.400
Accounts payable
Net credit sales
$50,000
4,800
Cost of goods sold
30.000
Requirement:
Calculate the operating and cash conversion cycles

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