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Compute the following computations for the two companies below and calculate the cash conversion cycle as well as answer the following question. 1. Compute DSO
Compute the following computations for the two companies below and calculate the cash conversion cycle as well as answer the following question.
1. Compute DSO 2. Compute DIO 3. Compute DPO 4. Computer cash conversion cycle
\begin{tabular}{|l|r|r|} \hline \multicolumn{1}{|c|}{$ millions } & \multicolumn{2}{c|}{} \\ \hline Total revenue & $24,310 & $33,130 \\ \hline Cost of sales and services & 21,324 & 28,793 \\ \hline Average accounts receivable & 5,450 & 8,298 \\ \hline Average inventory & 3,027 & 4,343 \\ \hline Average accounts payable & 3,101 & 10,445 \\ \hline \end{tabular} Cash conversion cycle (CCC)Step by Step Solution
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