Problem:
The Greek Connection had sales of $29.2 million and a cost of goods sold of $11.7 million in 2015. A simplified balance sheet for the firm appears below:
THE GREEK CONNECTION
Balance Sheet as of December? 31, 2015? (thousands of? dollars)
Assets:
Cash $1,947
Accounts receivable 4,207
Inventory 1,110
Total current assets $7,264
Net plant, property, and equipment 8,500
Total asset $15,764
Liabilities and Equity
Accounts payable 1,404
Notes payable 1,000
Accruals 1,220
Total current liabilities 3,624
?Long-term debt 3,000
Total liabilities 6,624
Common equity 9,140
Total liabilities and equity $15,764
Q1. Calculate The Greek? Connection's net working capital in 2015. The net working capital is ?$
Q2. Calculate the cash conversion cycle of The Greek Connection in 2015.
Q3. The industry average accounts receivable days is 30 days. What would the cash conversion cycle for The Greek Connection have been in 2015 had it matched the industry average for accounts receivable? days? (Round to the nearest? dollar.)