The following table presents selected 2020 annual income statement items and balance sheet items for Toyota Motor and Apple. All figures are in millions. Use the information to answer the questions that follow.

Toyota Apple Sales ¥ 29,929,992 $ 274,515 Cost of goods sold 24,522,364 169,559 Accounts receivable 8,709,065 16,120 Inventory 2,434,918 4,061 Accounts payable 2,434,180 42,296

a. Calculate and interpret the length of the operating cycle for Toyota and Apple.

b. Calculate and interpret the length of the cash conversion cycle for Toyota and Apple.

c. What are the advantages and disadvantages of Apple’s way of running operations compared to Toyota’s way?

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