Question

Accounts Accounts Inventory Payable Receivable Turnover Turnover (APT) Turnover (ART) (INVT) Property, Plant and Equipment ROA Turnover (PPET) ROE Profitability (Net Profit Margin) Efficiency (Total Asset Turnover) Leverage (Equity Multiplier) 5.46 6 2017 2016 2015 2014 8.84 6.81 8.15 6.59 3.77 3.42 4.691 4.45 1.05 0.84 1.53 1.88 14.40% -1.00% 12.01% 13.58% 26.67% -2.21% 22.65% 27.29% 25.04% -2.23% 17.90% 18.61% 57.51% 45.02% 67.07% 72.97% 1.85 2.21 1.89 2.01 6.46 5.63

e) What is Micron's Cash to Cash cycle in 2017? If the supply chain team went through a system overall improvment in 2018, and as the result, the inventory turnover ratio in 2018 is reached to 6. Keep everything else eaqual, what would be the Cash-to-Cash cycle for Micron in 2018? e) What is Micron's Cash to Cash cycle in 2017? If the supply chain team went through a system overall improvment in 2018, and as the result, the inventory turnover ratio in 2018 is reached to 6. Keep everything else eaqual, what would be the Cash-to-Cash cycle for Micron in 2018?

Answer 1

() Formula Can to Can Cycle Receivable Inventory Days + Payable Days Days 267 + 97 - ul Cash to Cash cycle in 2017 = 123 days Working Note :- Receivable Days 365 365 267 days N Receivable Tuinonen 5.46 Inventory Days 365 365 Inventory Turroun 97 days 3.77 Payable Days 365 N 365 8.84 2 41 days Payable Turnover

Carn to Cash Cycle in 2018 Receivable Inventory Payable Days Days Dags + 67 + 97 Carn to Cash Cycle Receivable Days Inventory Days Payable + Days in 2018 + 61 67 ul SI 87 days Working Note : Inventory Days 365 365 61 days Z a Inventry Tumon