If Chalet Corp. has an operating cycle of 93.4 days and days payables outstanding of 48.2 days,

Question:

If Chalet Corp. has an operating cycle of 93.4 days and days’ payables outstanding of 48.2 days, what is the firm’s cash conversion cycle?

Cash Conversion Cycle
Cash conversion cycle measures the total time a business takes to convert its cash on hand to produce, pay its suppliers, sell to its customers and collect cash from its customers. The process starts with purchasing of raw materials from suppliers,...