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3. Book value of stockholders' equity usually differs from company market value. Explain some reasons why a company's book value of stockholders' equity can differ

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3. Book value of stockholders' equity usually differs from company market value. Explain some reasons why a company's book value of stockholders' equity can differ from a company's market value. a. You are a financial analyst and are comparing financial ratios of two competing companies in the consumer packaged goods sector: Kellogg's company and General Mills. The 2018 turnover ratios for the two companies are summarized in the following table: K G Days sales outstanding 37.24 36.11 55.32 Days inventory outstanding 52.72 Days payable outstanding 97.16 86.11 By comparison, which company has better cash conversion cycle? What conclusions do you get regarding the two companies' management in accounts receivable, inventory and accounts payable? What suggestions you would make to improve their management in these three aspects respectively

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