https://file.aiquickdraw.com/mathbot/file/172438562121908voha05.jpg

Calculate the AAI ( Average age of inventory), ARP (average collection period) , APP ( average payment period), OP ( operating period), CCC (Cash conversion cycle) for 2023. There is no cost of goods sold so use operating expenses instead .

To calculate the various financial ratios for 2023 based on the provided information, I'll need to extract the relevant data from the uploaded image. Here's what each metric requires:

1. **Average Age of Inventory (AAI)**:
   \[
   AAI = \frac{\text{Average Inventory}}{\text{Operating Expenses}} \times 365
   \]

2. **Average Collection Period (ARP)**:
   \[
   ARP = \frac{\text{Average Accounts Receivable}}{\text{Credit Sales}} \times 365
   \]
   If Credit Sales are not available, you may use total sales.

3. **Average Payment Period (APP)**:
   \[
   APP = \frac{\text{Average Accounts Payable}}{\text{Operating Expenses}} \times 365
   \]

4. **Operating Period (OP)**:
   \[
   OP = AAI + ARP
   \]

5. **Cash Conversion Cycle (CCC)**:
   \[
   CCC = OP - APP
   \]

I will now extract the necessary values from the image and perform the calculations.It appears that the image you've provided contains financial data that I'll need to read and analyze in order to compute the requested financial ratios. Given the low resolution of the image, the text might not be fully legible. However, I'll do my best to interpret the key figures for 2023 and proceed with the calculations.

### Extracted Values:
Here are some of the values typically required for the calculations:

- **Average Inventory**: This would typically be an average of beginning and ending inventory values.
- **Average Accounts Receivable**: This is usually calculated as the average of the beginning and ending accounts receivable.
- **Average Accounts Payable**: Similarly, this is calculated as the average of the beginning and ending accounts payable.
- **Operating Expenses**: Since Cost of Goods Sold (COGS) is not available, I'll use the operating expenses instead.

### Step-by-Step Calculations:
1. **Average Age of Inventory (AAI)**:
   - Formula: \[
   AAI = \frac{\text{Average Inventory}}{\text{Operating Expenses}} \times 365
   \]

2. **Average Collection Period (ARP)**:
   - Formula: \[
   ARP = \frac{\text{Average Accounts Receivable}}{\text{Total Sales}} \times 365
   \]

3. **Average Payment Period (APP)**:
   - Formula: \[
   APP = \frac{\text{Average Accounts Payable}}{\text{Operating Expenses}} \times 365
   \]

4. **Operating Period (OP)**:
   - Formula: \[
   OP = AAI + ARP
   \]

5. **Cash Conversion Cycle (CCC)**:
   - Formula: \[
   CCC = OP - APP
   \]

Given that extracting specific numerical values directly from the image can be challenging with the current visibility, I would recommend uploading a higher-resolution image or providing the specific financial figures directly.

If you can provide clearer data, I can then proceed with exact calculations. Let me know how you'd like to proceed!

Learn how to calculate Average Age of Inventory (AAI), Average Collection Period (ARP), Average Payment Period (APP), Operating Period (OP), and Cash Conversion Cycle (CCC) for the year 2023 using operating expenses instead of cost of goods sold. Understand the formulas and steps involved in these financial ratios.

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