Question: Consider the following financial statement information for the Acme Corporation:
| Item |
Beginning |
|
Ending |
| Inventory |
$120,000,000 |
|
$105,000,000 |
| Accounts receivable |
80,000,000 |
|
84,000,000 |
| Accounts payable |
75,000,000 |
|
79,000,000 |
| Net sales |
|
$800,000,000 |
|
| Cost of goods sold |
|
550,000,000 |
|
Calculate the operating and cash cycles.