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Operating and Cash Conversion Cycles. Consider the following selected financial data for the Cloud 9 Retailer:
Item
Beginning
Ending
Inventory
$5,000
$7,000
Accounts receivable
1,600
2,400
Accounts payable
2,700
4,800
Net credit sales
$50,000
Cost of goods sold
30,000
Calculate the operating and cash conversion cycles (CFM adapted).
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