Your manager at Nass Corp. asks you to compute the firm's cash conversion cycle (CCC). Looking at the financial statements, you see that the average Inventory for the year was BD 126,300, accounts receivable was BD 97,900, and accounts payable were at BD 115,100. You also see that the company had credit sales of BD 124,000 and that cost of goods sold was BD 282,000. What is the Nass' CCC? 

NASS' Cash Conversion Cycle = DIO+DSO-DPO

DIO(Days inventory outstanding) = (Average inventory/COGS) x 365days

Average inventory = 126300

COGS = 282000

DIO = 164 days rounded to nearest decimal (163.47)

DSO(Days sales outstanding) = (Average account Receivables /Revenue ) x 365

Average account Receivables = 97900

Revenue = credit sales = 324000

DSO= 110 days rounded to nearest decimal (110.28)

DPO(Days Payable Outstanding) = (Average account payable /COGS ) x 365

Average account payable = 115100

DPO = 149days rounded to nearest decimal(148.97)

NASS CCC = 164+110-149 = 125days.