The following information is from the 2019 financial statements of Revlon, the beauty products company.

RequiredUse Revlon’s financial information to answer the following questions:

a. What is Revlon’s operating cycle (in days) in 2019 and 2018? Comment on the change from year to year.

b. What is Revlon’s cash operating cycle (in days) in 2019 and 2018? Comment on the change from year to year.

c. Use Revlon’s financial information to compare the components of Revlon’s operating cycle and cash operating cycle to L’Oréal’s for 2019. The following table provides the amounts for L’Oréal from worked Example 9.16 in the text. 

Data from Example 9.16

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Balance Sheet Information (in million of dollars)* 2018 $ 431.3 523.2 332.1 At December 31 Accounts Receivable Inventories Accounts Payable Income Statement Information For the year Sales (all credit) Cost of Goods Sold 2019 $423.4 448.4 251.8 2019 $2,419.6 1,367.4 2018 $2,564.5 1,447.5 2017 $444.8 497.9 336.9 2017 $2,693.7 1,541.4