Chapter 9, Problem 9.30E

Your manager asks you to compute the company's cash conversion cycle. Looking at the financial statements, you see that the average inventory for the year was $215,500, accounts receivable were $172,600, and accounts payable were at $198,300. You also see that the company had sales of $547,000 and that cost of goods sold was $382,000. What is your firm's cash conversion cycle? Round to the nearest day.

Can you demonstrate the accurate method for solving this financial accounting question?

Can you solve this financial accounting question with the appropriate financial analysis techniques?