The Following Analysis Is Based on Information Obtained from the 2017

Essay

The following analysis is based on information obtained from the 2017 financial statements of Pacific Company,River Corporation,and Ocean Company.
​
$$\begin{array} { l r r r } \text { (in millions) } & \text { Pacific } & \text { River } & \text { Ocean } \\\text { Accounts receivable turnover ratio } & 10.7 & 18.9 & 12.1 \\\text { Inventory turnover ratio } & 9.1 & 18.4 & 6.4\end{array}$$ A) Compute the cash-to-cash operating cycle for each company for 2017 .
B) What does this ratio measure? Which company has the better cash-to-cash operating cycle?