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Salty Dog Brewery has the following end of year account balances. What is the company's inventory conversion period? Use a 365- day year. Annual sales
Salty Dog Brewery has the following end of year account balances. What is the company's inventory conversion period? Use a 365- day year. Annual sales = $45,000 Annual cost of goods sold $30,000 Inventory = $3,500 Accounts receivable = $1,800 Accounts payable = $2,800 48 days 43 days 39 days 31 days Using Salty Dog's accounting information from the previous question, what is the average collection period for this business? 26 days 21 days 15 days 9 days Still using Salty Dog's accounting information, assume for this question that the inventory conversion period is 80 days and its average collection period is 29 days. What is the cash conversion cycle for Salty Dog? Hint: You must calculate the payable deferral period first - round this calculation to the nearest whole number. 41 days 75 days 109 days 58 days
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