Question
Company X has the following data: Credit Sales - $730,000; COGS - $285,000; Average inventory - $125,000; Average A/R - $225,000, Average A/P - $285,000;
Company X has the following data: Credit Sales - $730,000; COGS - $285,000; Average inventory - $125,000; Average A/R - $225,000, Average A/P - $285,000; Opportunity Cost of Funds 4.25%. Calculate the Cash Conversion Cycle. What is the dollar cost of its cash conversion cycle in #33 above? Finally, how many times a year does Company X turnover its cash from #33 above?
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Inflation Growth And International Finance
Authors: Alec Cairncross
1st Edition
113865308X, 978-1138653085
