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P18-5 (similar to) Question Help * Related to Checkpoint 18.2) (Calculating the cash conversion cycle) Network Solutions just introduced a new, fully automated manufacturing plant
P18-5 (similar to) Question Help * Related to Checkpoint 18.2) (Calculating the cash conversion cycle) Network Solutions just introduced a new, fully automated manufacturing plant that produces 1,500 wireless routers per day with materials costs of $45 per router and no other costs. The average number of days a router is held in inventory before being sold is 68 days. In addition, they generally pay their suppliers in 27 days, while collecting from their customers after 26 days a. What is the cash cortversion cycle? b. What would happen to the cash conversion cycle if they could stretch their payments to suppliers from 27 days to 47 days? c. How much would working capital be reduced if they stretched their payments to suppliers from 27 days to 47 days? a. The cash conversion cyde isdays (Round to the nearest whole number) Enter your answer in the answer box and then click Check Answer Clear Al remaining Check A
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