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Calculate the cash conversion cycle for Company XYZ, which reported the following financial data: Days Sales Outstanding (DSO): 30 days Days Inventory Outstanding (DIO): 45
Calculate the cash conversion cycle for Company XYZ, which reported the following financial data:
- Days Sales Outstanding (DSO): 30 days
- Days Inventory Outstanding (DIO): 45 days
- Days Payable Outstanding (DPO): 60 days Interpret the cash conversion cycle as a measure of liquidity and operational efficiency, and discuss strategies for optimizing working capital management.
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Financial Accounting
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
IFRS 3rd edition
1118978080, 978-1119153726, 1119153727, 978-1119153702, 978-1118978085
