Merton analytics is considering changes in its working capital policies to improve its cash flow cycle. merton’s sales last year were $4,250,000 (all on credit), and its net profit margin was 7%. its inventory turnover was 7.5 times during the year, and its dso was 41 days. its annual cost of goods sold was $2,200,000. the firm had fixed assets totaling $585,000. merton’s payables deferral period is 42 days. a. calculate merton’s cash conversion cycle. b. assuming merton holds negligible amounts of cash and marketable securities, calculate its total assets turnover and roa. c. suppose merton’s managers believe the annual inventory turnover can be raised to 9.5 times without affecting sales. what would merton’s cash conversion cycle, total assets turnover, and roa have been if the inventory turnover had been 9.5 for the year?

2. the language of price controls consider the market for rental cars. suppose that, in a competitive market without government regulations, the equilibrium price of rental cars is $58 per day, and employees at car rental companies earn $19.50 per hour. complete the following table by indicating whether each of the statements is an example of a price ceiling or a price floor and whether it results in a shortage or a surplus or has no effect on the price and quantity that prevail in the market. statement price control effect there are many teenagers who would like to work at car rental companies, but the minimum-wage law sets the hourly wage at $23.00. the government has instituted a legal minimum price of $87 per day for rental cars. the government prohibits car rental companies from renting out rental cars for more than $87 per day.

Suppose an economy has only two sectors: goods and services. each year, goods sells 80% of its outputs to services and keeps the rest, while services sells 62% of its output to goods and retains the rest. find equilibrium prices for the annual outputs of the goods and services sectors that make each sector's income match its expenditures.

Win goods inc. is a large multinational conglomerate. as a single business unit, the company's stock price is estimated to be $200. however, by adding the actual market stock prices of each of its individual business units, the stock price of the company as one unit would be $300. what is win goods experiencing in this scenario? a. diversification discount b. learning-curveeffects c. experience-curveeffects d. economies of scale