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Alpha Company would like to estimate how long it will take to realize cash from its ending inventory. For this purpose the following data are

Alpha Company would like to estimate how long it will take to realize cash from its ending inventory. For this purpose the following data are submitted:

Accounts Receivable, less allowance for doubtful accounts of $40,000 $ 660,000
Ending Inventory 750,000
Net Sales 5,650,000
Cost of Goods Sold 4,250,000
  1. Estimate how long it will take to realize cash from the account receivables.
  2. Estimate how long it will take to sell all ending inventory.
  3. Estimate how long it will take to realize cash from the ending inventory.

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