(Cash conversion cycle?)??Sims Electric Corp. has been striving for the last 5 years to improve its management of working capital. Historical data for the? firm's sales, accounts? receivable, inventories, and accounts payable? follow:

	JAN-10	JAN-11	JAN-12	JAN-13	JAN-14
Sales-Net	2,894	3,474	5,257	7,736	12,392
Receivables	400	524	733	911	1,476
Accounts payable	300	450	463	1.024	1,641
Inventories	231	315	431	258	240

a.??Calculate? Sims' days of sales? outstanding, days of payables outstanding and days of sales in inventory for each of the 5 years.??Assume a? 365-day year.??Hint?: Assume that the? firm's cost of goods sold equals? 70% of sales.

b.??Calculate? Sims' cash conversion cycle for each of the 5 years. Evaluate? Sims' overall management of its working capital.??Assume a? 365-day year.

Days of sales outstanding (DSO) JAN-10 JAN-11 JAN-12 JAN-13 JAN-14