You Have Recently Been Hired to Improve the Performance of Multiplex

question 59

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= $120,000
Annual sales= $600,000
Accounts receivable= $160,000
Accounts payable= $25,000
Total annual purchases= $360,000
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:

Home Health Clients

Individuals who receive medical care and treatment in their own homes from healthcare professionals.

Home Visits

Practices where healthcare professionals provide services in a patient's home to assess health needs, provide treatment, or offer education.

Basic Supplies

Essential items required for day-to-day functioning, including personal care, household, or educational supplies.

Vulnerable Population

Groups of individuals who, due to various factors, may have a higher risk of experiencing health disparities or diminished capacity to advocate for themselves.