Seinfeld Inc. currently has $875,000 in accounts receivable, $675,500 in inventories and $875,000 in accounts payable on its balance sheet. The firm's production manager has determined that cost of goods sold (COGS) are 80% of the annual sales revenue produced, totaling $6,250,000. Seinfeld's production manager has determined that through negotiations with its suppliers, the firm could reduce their COGS sold down to 70%, and thus reduce its cash conversion cycle time. 1. Calculate the CCC for Seinfeld Inc. before the reduction in COGS. 2. What is the new CCC for Seinfeld Inc. after the reduction in COGS? 3. To enjoy this reduction in COG sold, Seinfeld's suppliers will require that Maestro pay them a bit more promptly. If Seinfeld begins paying its bills quicker and is able to reduce their PDP by 25 days, what will their payables balance be