Question: Analyze the cash conversion cycle for LMN Corporation using the following data: Category Amount ($) Days Inventory Outstanding (DIO) 30 days Days Sales Outstanding (DSO)


  1. Analyze the cash conversion cycle for LMN Corporation using the following data:
CategoryAmount ($)
Days Inventory Outstanding (DIO)30 days
Days Sales Outstanding (DSO)45 days
Days Payable Outstanding (DPO)20 days

Requirements:

  • Calculate the cash conversion cycle (CCC).
  • Present the analysis in a detailed table format.
  • Discuss the efficiency of cash management and working capital turnover.

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