Use the data for Amalgamated Services from E11-24B.

Requirements

1. Calculate the cash conversion cycle for Amalgamated Services. Round all calculations to two decimal places. Assume all sales are on credit.

2. Comment on Amalgamated Services? cash conversion cycle, assuming it was 78.24c days for the prior year.

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Amalgamated Services, Inc. Income Statement Year Ended June 30, 2018 Revenues: $281,000 Sales Revenue Dividend Revenue Total Revenues 10,000 $291,000 Expenses: $101,000 Cost of Goods Sold Salaries Expense Depreciation Expense Advertising Expense Interest Expense Income Tax Expense Total Expenses 60,000 17,000 15,000 3,000 14,000 210,000 $ 81,000 Net Income