You Have Recently Been Hired to Improve the Performance of Multiplex

question 5

Multiple Choice

You have recently been hired to improve the performance of Multiplex Corporation which has been experiencing a severe cash shortage.As one part of your analysis, you want to determine the firm's cash conversion cycle.Using the following information and a 360-day year, what is your estimate of the firm's current cash conversion cycle? Current inventory = R120,000
Annual sales = R600,000
Accounts receivable = R160,000
Accounts payable = R25,000
Total annual purchases = R360,000
Purchases credit terms: net 30 days
Receivables credit terms: net 50 days

• A) 49 days
• B) 143 days
• C) 100 days
• D) 168 days
• E) 191 days

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Definitions:

Communication Styles

Distinct manners and techniques that individuals use to exchange information, ideas, and feelings with others, including verbal, non-verbal, and visual methods.

Student Health Service

An organization typically found in educational institutions, aimed at providing health care and medical services to students.

Student Depression

A mental health disorder characterized by persistently depressed mood or loss of interest in activities, affecting academic and social functioning of students.

Mental Illnesses

Health conditions involving changes in emotion, thinking or behavior (or a combination of these) that cause distress and difficulty in functioning.