What is med ltd cash conversion cycle

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The MED Ltd has an inventory conversion period of 72 days, a receivables collection period of 40 days and a payable referral period of 30 days

Problem 1: What is MED Ltd's cash conversion cycle?

Problem 2: If MED Ltd's annual sales are Tshs 450 Million and all sales are on credit what is the firm's investment in account receivables?

Problem 3: How many times per year does MED Ltd turn over its inventory?

Problem 4: Of what use would the above information be to the finance managers of the firm in different industries?

Reference no: EM132944545

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