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Cash Conversion Cycle Company Data: Days Inventory: 45 days Days Receivables: 30 days Days Payables: 20 days Requirements: Calculate the Cash Conversion Cycle (CCC).
Cash Conversion Cycle Company Data:
- Days Inventory: 45 days
- Days Receivables: 30 days
- Days Payables: 20 days
Requirements:
- Calculate the Cash Conversion Cycle (CCC).
- Explain the significance of the CCC in managing working capital.
- Suggest two ways to improve the CCC.
- Analyze the impact of reducing Days Inventory by 10 days on CCC.
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Intermediate Accounting
Authors: Earl K. Stice, James D. Stice
18th edition
538479736, 978-1111534783, 1111534780, 978-0538479738
