Joanna Handicraft s, Inc., has net sales of $4.23 million with 50 percent being credit sales. Its

Question:

Joanna Handicraft s, Inc., has net sales of $4.23 million with 50 percent being credit sales. Its cost of goods sold is $2.54 million. The firm’s cash conversion cycle is 47.9 days, and its operating cycle is 86.3 days. What is the firm’s accounts payable?

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,...