The balance sheet and income statement for Isnet Corporation are as follows: Isnet's stock was selling for $10 a share at the end of 2007,and there were 1 million shares outstanding. Isnet paid dividends of $0.10 a share in 2007
-Refer to the information above. Calculate Isnet's Cash Conversion Cycle for 2007. Assume a 365-day year.

Question

The balance sheet and income statement for Isnet Corporation are as follows:   Isnet's stock was selling for $10 a share at the end of 2007,and there were 1 million shares outstanding. Isnet paid dividends of $0.10 a share in 2007
-Refer to the information above. Calculate Isnet's Cash Conversion Cycle for 2007. Assume a 365-day year.

Quizplus · Accepted Answer

The Cash Conversion Cycle (CCC) is calculated as Days Inventory Outstanding (DIO) + Days Sales Outstanding (DSO) - Days Payable Outstanding (DPO). Without specific numbers provided in the question, the correct answer can't be directly calculated. However, assuming the calculation has been done correctly based on the provided data, and given the options, if D is the correct answer, it means the CCC has been calculated to be 64 days. This indicates the number of days from paying for raw materials to receiving cash from sales, after subtracting the days the company takes to pay its suppliers.

The Balance Sheet and Income Statement for Isnet Corporation Are