Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please solve it in 10 mins I will thumb you up please fast Zayd Enterprise has $15 million of sales, $2 million of inventories, $3

image text in transcribed

please solve it in 10 mins I will thumb you up please fast

Zayd Enterprise has $15 million of sales, $2 million of inventories, $3 million of receivables, and $1 million of payables. Its cost of goods sold is 80% of sales, and it finances working capital with bank loans at an 8% rate. i. What is Zayd's cash conversion cycle (CCC)? ii. If Zayd could lower its inventories and receivables by 10% each and increase its payables by 10%, all without affecting sales or cost of goods sold, what would be the new CCC. Show all workings (Students can copy and paste workings from Excel)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Wealthtech Book The FinTech Handbook For Investors Entrepreneurs And Finance Visionaries

Authors: Susanne Chishti, Thomas Puschmann

1st Edition

1119362156, 978-1119362159

More Books

Students also viewed these Finance questions