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1) A firm sells a unit of inventory for $100 cash. The unit is on the...

1) A firm sells a unit of inventory for $100 cash. The unit is on the books at a cost of $60. The firm then buys another unit of inventory to replace the one sold. That unit costs $70 and is purchased on credit. • How will these two transactions impact the cash conversion cycle as estimated from the firm’s financial statements?
 Choose one: 
 Cash Conversion Cycle … WILL BE HIGHER, WILL BE LOWER, WILL NOT CHANGE, IS INDETERMINATE

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Any Cash conversion Cycle version Cycle = = voy Day Inventorly & outstanding Day Receivable - about standing - Days Royable o

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