Lenovo has an inventory conversion period of 75 days, an average collection period of 38 days, and a payables deferral period of 30 days.

Required:

1. What is the length of the cash conversion cycle? (5)
2. If Lenovos annual sales are R3 421 875 and all sales are on credit, what is the investment in accounts receivable? (5)
3. How many times per year does Lenovo turn over its inventory? Assume that the cost of goods sold is 75% of sales. (5)