Use the information to calculate the cash conversion cycle

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Reference no: EM133344960

Question: The following information is from Tesla and GM's 2021 financial data.

a. Use the information to calculate the cash conversion cycle (CCC) of each company.

b. Based on the CCC number, which company's operations is more efficient? Why?

Tesla As of December 31, 2021	General Motors As of December 31, 2021
Accounts receivable days	16.9	19.9
Inventory days	59.3	33.3
Accounts payable days	62.5	71.1

Reference no: EM133344960

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