Santana Reys two departments, Computer Consulting Services and Computer Workstation Furniture Manufacturing, have each been profitable for Business Solutions. Santana has heard of the cash conversion cycle and wants to use it as another performance measure for the workstation manufacturing department. Data below are for the most recent two quarters.

	1st Quarter	2nd Quarter
Days sales in accounts receivable	20 days	22 days
Days sales in inventory	26 days	25 days
Days payable outstanding	32 days	29 days

Required 1&2. Compute the cash conversion cycle for the first quarter and second quarter. 3. Did the cash conversion cycle increase or decrease from the first to the second quarter?