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QUESTION 2 Cash Conversion Cycle Wolfgang Electricals estimates that it takes the company 31 days on average to pay off its s
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Answer #1

Cash conversion cycle (CCC):

This is the cycle to see how quickly cash is realized since inventory.

The formula is as below:

CCC = Days for inventory outstanding + Days for sales outstanding - Days for supplier liability

            = 54 + 34 – 31

            = 57 days (Answer)

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