Use the financial statements below to calculate the firm's Cash Conversion Cycle be sure to use purchases (not COGS) for the AP Deferral calculation.

You must type in both the answer and all of your work to receive credit.

Be sure to use 4 decimal places where applicable (25.25% or 0.2525).

Acme Products, Inc.				Acme Products, Inc.
Balance Sheets				Income Statement
ASSETS	current yr	prior yr			current yr
Cash	500	400		Sales (all credit)	7,000
Receivables	750	600		Cost of Goods Sold	4,000
Inventory	1,125	900		Gross Profit	3,000
Property, plant & equipment	2,750	2,200		Operating expenses	1,400
Total assets	5,125	4,100		Depreciation	400
				Opertating income	1,200
LIABILITIES & EQUITY				Interest expense	100
Accounts payables	625	500		Taxable income	1,100
Accrued expenses	500	400		Taxes (25%)	275
Long-term debt	1,750	1,400		Net income	825
Common stock	750	600
Paid-in Capital	250	200
Retained earnings	1,250	1,000
Total liabilities and equity	5,125	4,100