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Analyze the cash conversion cycle for LMN Corporation using the following data: Category Amount ($) Days Inventory Outstanding (DIO) 30 days Days Sales Outstanding (DSO)
- Analyze the cash conversion cycle for LMN Corporation using the following data:
| Category | Amount ($) |
|---|---|
| Days Inventory Outstanding (DIO) | 30 days |
| Days Sales Outstanding (DSO) | 45 days |
| Days Payable Outstanding (DPO) | 20 days |
Requirements:
- Calculate the cash conversion cycle (CCC).
- Present the analysis in a detailed table format.
- Discuss the efficiency of cash management and working capital turnover.
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Accounting Volume 1
Authors: Charles T. Horngren, Walter T. Harrison, Jo Ann L. Johnston, Carol A. Meissner, Peter R. Norwood
9th Canadian edition
978-013309863, 9780133128338, 013309863X, 133128334, 978-0132690096
