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Sharam industries has a 120-day operating cycle if its

Sharam Industries has a 120-day operating cycle. If its average age of inventory is 50 days, how long is its average collection period? If its average payment period is 30 days, what is its cash conversion cycle? Place all of this information on a time line similar to Figure.

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Finance Basics: Sharam industries has a 120-day operating cycle if its

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