Gates Industries' Balance Sheet and Income Statement for the Year $\text { Balance Sheet ( } \$ \text { million) }$

Multiple Choice

Gates Industries' balance sheet and income statement for the year ending December 31, 2014 are as follows: $\text { Balance Sheet ( } \$ \text { million) }$
$\begin{array}{lrlr}\text { Cash } & \$ 10.0 & \text { Accounts payable } & \$ 15.0 \\\text { Accounts receivable } & 15.0 & \text { Salaries, benefits, \& payroll taxes payable } & 3.0 \\\text { Inventories* } & 12.0 & \text { Long-term debt } & 15.0 \\\text { Fixed assets (net) } & 30.0 & \text { Stockholders' equity } & 34.0\\\text { Total assets }&\$67.0&\text { Total liab. \& stock equity }&\$67.0\end{array}$ ? $\begin{array}{ll}\text {Income Statement ( \( \$ \) million) }& \\\\\text {Net sales (all credit) }&\$125.0 \\\text {Cost of sales }&75.0 \\\text {Selling general, \& admin. expenses }& 30.0\\\text {Other expenses }&13.0\\\text {Earnings after tax }&\$7.0 \\\end{array}$
? *Note: Average inventories also equal $12.0 million.
Determine the length of the firm's cash conversion cycle.

A) 102.2 days
B) 29.2 days
C) 39.6 days
D) None of these are correct or it cannot be computed from the information given