Q3. Calculate the cash conversion cycle for a firm using the following information. Balance sheet, 2015 Cash $ 20,000 Inventories $ 92,000 Accounts receivable $ 12,500 *30% of sales are sold on credit Current assets $ 124,500 Income statement, 2015 Net fixed assets $ 79,000 Revenue COGS Assets $ 203,500 SG&A EBIT Interest expense EBT Taxes Balance sheet, 2014 Net income Cash $ 21,900 Inventories $ 83,000 Accounts receivable $ 11,100 Current assets $ 116,000 Net fixed assets $ 84,000 Assets $ 200,000 $ 250,000 $ 150,000 $ 37,500 $ 62,500 $ 15,000 $ 47,500 $ 16,625 $ 30,875 Accounts payable $ 19,000 Long-term debt $ 98,000 Liabilities $ 117,000 Common stock $ 60,000 Retained earnings $ 26,500 Equity $ 86,500 Liabilities & equity $ 203,500 Accounts payable $ 26,500 Long-term debt $ 91,000 $ 117,500 Liabilities Common stock $ 60,000 $ 22,500 Retained earnings Equity Liabilities & equity $ 200,000 $ 82,500