USC Heavy Industries has begun studying ways to improve its efficiency to reduce its Cash Conversion...

 

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USC Heavy Industries has begun studying ways to improve its efficiency to reduce its Cash Conversion Cycle. Currently, the following information is known: Inventory: 15,000 Accounts Payable: 25,000 Cost of Goods Sold: 600,000 It is also known that all of the company's sales are done on credit. On average, 30% of sales are paid by customers 10 days after the sale while the remaining 70% are paid 30 days after the sale. What is the Cash Conversion Cycle of USC Heavy Industries? USC Heavy Industries has begun studying ways to improve its efficiency to reduce its Cash Conversion Cycle. Currently, the following information is known: Inventory: 15,000 Accounts Payable: 25,000 Cost of Goods Sold: 600,000 It is also known that all of the company's sales are done on credit. On average, 30% of sales are paid by customers 10 days after the sale while the remaining 70% are paid 30 days after the sale. What is the Cash Conversion Cycle of USC Heavy Industries?

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The Cash Conversion Cycle CCC measures the time it takes for a company to convert its investments in ... View the full answer