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As an assistant financial manager for Taring Jitu Sdn Bhd , you are required to measure the firm s cash conversion cycle, operating cycle, production

As an assistant financial manager for Taring Jitu Sdn Bhd, you are required to measure the firms cash conversion cycle, operating cycle, production cycle, collection cycle, and payment cycle on one of your manufacturing products. The Board of Director will rely on your result to help them to make a decision. Below is the necessary information for the most recent fiscal year prepared by your accountant and puts together into table:
Cash salesRM 650,000
Credit salesRM 970,000
Total salesRM 1,620,000
Cost of goods soldRM 1,010,000
Ending Balance Beginning Balance
Accounts receivable RM 52,000 RM 48,000
Inventory RM22,500 RM 18,800
Accounts payable RM21,000 RM 17,100
By using above data, measure the cash conversion cycle.

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