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Problem 9-1: Show the formulas Cash Conversion Cycle Given the following information: (Amounts in 000's SAR) 20X1 20X2 20X3 20X4 Sales - net 4,250 5,314
Problem 9-1: | Show the formulas | |||
Cash Conversion Cycle | ||||
Given the following information: (Amounts in 000's SAR) | ||||
20X1 | 20X2 | 20X3 | 20X4 | |
Sales - net | 4,250 | 5,314 | 7,877 | 10,942 |
Cost of goods sold | 2,975 | 3,720 | 5,514 | 7,659 |
Accounts receivable | 618 | 799 | 1,091 | 1,348 |
Inventories | 332 | 445 | 639 | 382 |
Accounts payable | 425 | 670 | 704 | 1,555 |
Calculate for each year: | ||||
(1) Days sales outstanding | ||||
(2) Days of sales in inventory | ||||
(3) Days payable outstanding | ||||
(4) Cash conversion cycle |
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