Frosty Corporation Has the Following Data,in Thousands

question 12

Multiple Choice

Frosty Corporation has the following data,in thousands.Assuming a 365-day year,what is the firm's cash conversion cycle?
Annual sales =
$45,000
Annual cost of goods sold =
$31,500
Inventory =
$4,000
Accounts receivable =
$2,000
Accounts payable =
$2,400

• A) 25 days
• B) 28 days
• C) 31 days
• D) 35 days
• E) 38 days

---

Definitions:

Expansionary Monetary Policy

A form of economic policy that aims to increase the money supply and reduce interest rates to stimulate economic growth.

Economic Stability

Economic Stability is a condition in which an economy experiences constant growth, moderate inflation, and low unemployment rates over time.

Policy Shifts

Changes in governmental strategies, regulations, or guidelines that influence the economic, social, or political landscape.

External Benefit

Spillover effects that generate benefits for non-consenting parties.