=+a. Calculate the firm’s cash conversion cycle, its daily cash operating expenditure, and the amount of resources needed to support its cash conversion cycle.

b. Find the firm’s cash conversion cycle and resource investment requirement if it makes the following changes simultaneously.

(1) Shortens the average age of inventory by 10 days.

(2) Speeds the collection of accounts receivable by an average of 15 days.

(3) Extends the average payment period by 5 days.