What is the length of the cash conversion cycle

Assignment Help Financial Management

Reference no: EM131896879

Zane Corporation has an inventory conversion period of 53 days, an average collection period of 38 days, and a payables deferral period of 23 days. Assume 365 days in year for your calculations.

What is the length of the cash conversion cycle? Round your answer to two decimal places.

________ days

If Zane's annual sales are $4,688,385 and all sales are on credit, what is the investment in accounts receivable? Round your answer to the nearest cent. Do not round intermediate calculations.

$_______

How many times per year does Zane turn over its inventory? Assume that the cost of goods sold is 75% of sales. Use sales in the numerator to calculate the turnover ratio. Round your answer to two decimal places. Do not round intermediate calculations.

___________ times

Reference no: EM131896879

Questions Cloud

Dividends are used far more often than stock splits : especially determining the tax basis of their shares when they decide to sell them, so today stock dividends are used far more often than stock splits

Growth rate without the firm having to raise external funds : The sustainable growth rate is the maximum achievable growth rate without the firm having to raise external funds.

Postpone paying taxes on dividends credited to their account : One advantage of dividend reinvestment plans is that they enable investors to postpone paying taxes on the dividends credited to their account

Capture the fundamental outlook of the homebuilding industry : In your view, which three indicators best capture the fundamental outlook of the homebuilding industry

What is the length of the cash conversion cycle : What is the length of the cash conversion cycle? How many times per year does Zane turn over its inventory?

Calculate current yield of the bond : Calculate current yield of the bond using Excel formulas.

Setting up a loan balance analysis : Setting up a Loan Balance Analysis. What is the annual payment on this loan?

Constitute assessable income : Would the following constitute assessable income?

Calculate the after-tax rate of return-the real return : calculate the after-tax rate of return, the real return and the total monetary return. What are the implications of this result for cash management decisions

User Account

All Pages