Dace Wed Design Layout References Mailings Review View Help Question 5 (10 marks) 0 The following information is extracted from the financial statements of XERO Limited Cash $677423 Accounts Payable 51,721.6 Accounts Receivable $1,845,113 Notes Payable $2,113,345 Inventories 51,312,478 Total Current Assets 53,635,014 Total Current Liabilities 5,835,014 Net Sales 59,912,332 Cost S5,947,399 (a) Briefly explain what you understand by the term operating cyde'. (1 mark) Click or tap here to enter text (b) What is the operating cycle for XERO Limited? (1 mark) Click or tap here to enter text (c) What can you say about XERO Limited's accounts receivable and inventory management if it is known that the industry average operating cycle is 72 days7 (1 mark) Click or tap here to enter test (1 mark) (d) Briefly explain what you understand by the cash conversion cycle. Foru 06 8 Chehre tante test What is the cash conversion cycle for XERO Limited? [1 mark) Click or tap here to enter text. 10 What can you say about XERO Limited's cash conversion cycle if it is known that the industry average cash conversion cycle is 42 days? (1 mark) Click or tap here to enter text. (ii) The current ratio and networking capital are good predictors of a firm's ability to meet its short-term obligations. Do you agree or disagree? Provide your rationale. (4 marks) Click n tar harat antaraxt D. Focus