(Cash conversion cycle) Sims Electric Corp. has been striving for the last 5 years to improve its management of working capital. Historical data for the firms sales, accounts receivable, inventories, and accounts payable follow:

Sims Electric Corp. Financial Data

	JAN-10	JAN-11	JAN-12	JAN-13	JAN-14
SalesNet	2,873	3,475	5,296	7,759	12,327
Receivables	411	538	726	903	1,486
Accounts payable	283	447	466	1,040	1,643
Inventories	220	293	429	251	233

Calculate Sims days of sales outstanding and days of sales in inventory for each of the 5 years. What has Sims accomplished in its attempts to better manage its investments in accounts receivable and inventory?

Calculate Sims cash conversion cycle for each of the 5 years. Evaluate Sims overall management of its working capital.