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Dopefiend's Diner currently has an operating cycle of 39 days, and a 22 day cash cycle. Assume the firm changes its operations in such that
Dopefiend's Diner currently has an operating cycle of 39 days, and a 22 day cash cycle. Assume the firm changes its operations in such that it decreases its average collection period by 2 days, increases its days sales in Inventory by 4 days, and increases its average payment period by 3 days. What will the length of the cash cycle be after these changes?
a- 23 days
b- 21 days
c- 25 days
d- 17 days
e- 18 days
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