Red Hemster Manufecturing inc. has forecasted sales of $29,00,000 fer next year and expects its cast of goods m holds S2.90,000 COGS to emer at S0% of sales. Currently the receivable, and $2,600,000 in acccunts payable ent ries, SLE 000 nac u ts Approximately how long does it take Red Hamster Manufecturing to convert its raw materiels to ts firished products and then to sell thase goods? (Note: In all calculations, assume that there are 365 days in a year.) O 66.91 days O 48.66 days O 60.83 days O 63.87 days On average, It takes from the time a sale is made untl the time cash is collected from customers. Red Hamster Manufacturing relles on customer credit when it buys raw materials from its suppliers. On average, it takes after the firm purchases materials before it sends cash to its suppliers. What is the length of Red Hamster Manufacturing's cash conversion cycle (CCC)? O 31.85 days O 36.19 days O 24.61 days O 28.95 days The management at Red Hamster Manufacturing wants to continue its internal discussions regarding its cash management. One of the finance team members presents the following case to her cohorts Which of the following responses to the CFO's statement is most accurate? Case in Discussion O The CFO's approximation of the length of the bank loans should be accurate, because it will take 110 days for the company to manufacture, sell, and collect cash for its goods. All these things must occur for the company to be able to repay its loans from the bank Lost Pigeon Aviation's management plans to finance its operations with bank loans that will be repaid as soon as cash is available. The company's management expects that it will take 60 days to manufacture and sell its products and 50 days to receive payment from its customers. Lost Pigeon Aviation's CFO has told the rest of the management team that they should expect the length of the bank loans to be approximately 110 days O The CFO is not taking into account the amount of time the company has to pay its suppliers. Generally, there is a certain length of time between the purchase of materials and labor and the payment of cash for them. The CFO can reduce the estimated length of the bank loan by this amount of time. is it possible for a firm to have a negative CCC? O Yes O No