Question regarding the firm cash conversion cycle


Desai Inc. has the following data, in thousands. Assuming a 365-day year, what is the firm's cash conversion cycle?

Annual sales =

Annual cost of goods sold =

Inventory =

Accounts receivable =

Accounts payable = $45,000

$30,000

$4,500

$1,800

$2,500

a. 28 days

b. 32 days

c. 35 days

d. 39 days

e. 43 days

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Accounting Basics: Question regarding the firm cash conversion cycle
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