Answer:
42 days
Explanation:
Given that
Inventory conversion period = 50 days
Average collection period = 17 days
Payable deferral period = 25 days
Now The computation of the cash conversion cycle is shown below:
The cash conversion cycle = Inventory conversion period + Average collection period - Payable deferral period
= 50 days + 17 days - 25 days
= 42 days
