Problem 15-3 (similar to) (Cash conversion cycle) Historical data for the firm's sales, accounts receivable, inventories, and accounts payable for the Crimson Mfg. Company follow: LOADING... . a. Calculate Crimson's days of sales outstanding, days of payables outstanding, and days of sales in inventory for each of the 5 years. (Assume a 365-day year. Hint: Assume that the firm's cost of goods sold equals 70% of sales.) What has Crimson accomplished in its atempts to better manage its investments in account receivable and inventory? b. Calculate Crimson's cash conversion cycle for each of the 5 years. Evaluate the firm's overall management of its working capital. Assume a 365-day year. a. Calculate Crimson's days of sales outstanding, days of payables outstanding, and days of sales in inventory for each of the 5 years. Assume a 365-day year. Hint: Assume that the firm's cost of goods sold equals 70% of sales.(Round to two decimal places.) 2011 2012 2013 2014 2015 Days of sales outstanding (DSO) nothing nothing nothing nothing nothing

2011 2012 2013 2014 2015

Sales 2,827 3,470 5,295 7,726 12,325

Receivables 417 540 717 925 1,486

Accounts payable 297 433 459 1,050 1,622

Inventories 237 306 415 269 238