Question: Can you demonstrate the accurate method for solving this General accounting question? A company is considering implementing several operational changes to boost its business. These

Can you demonstrate the accurate method for solving this General accounting question?

A company is considering implementing several operational changes to boost its business. These changes include increasing the inventory of raw materials by $40,000, offering more flexible payment terms to customers, which will increase receivables by $120,000, and negotiating more favorable credit terms with suppliers, leading to an increase in payables by $60,000. These actions are expected to increase annual sales by $1,200,000. The company expects its cost of goods sold (COGS) to remain at 65% of sales. What effect will these changes have on the company's cash conversion cycle (CCC)

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