Question: Cash Conversion Cycle. Primrose corp has $15 mill of sales, $ 2 mill of inventories, $3 mill of receiveables, and $1 mill of payables. Its cost of goods sold is 80% of sales, and its finances working capital with bank loans at an 8% rate. What is primrose’s cash conversion cycle (ccc)? If Primrose could lower its inventories and receivables by 10% each and increase its payables by 10%, all without affecting sales or cost of goods sold, what would be the new CCC, how much cash would be freed up, and how would that affect pretax profits?