B.Storm Inc. had 500 units of Product X at 30 June 2020 in inventory. The product had beenpurchased at list price of $18 per unit and normally sells for $24 per unit.Additional information relating to the units in inventory: VAT – 10%; wharehousing cost - $0.55per unit; purchase discount - $0.40 per unit; carriage inwards - $0.60 per unit.Recently , Product X started to deteriorate but can still be sold for $24 per unit, provided thatsome rectification/re-packaging work is undertaken at a cost of $3 per unit.Required:At what amount would Product X be required to be stated on 30 June 2020? Provide detailedanalysis to support your answer.

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Conversion Cycle

Conversion cycle is also known as cash cycle or net operating cycle. Conversion cycle refers to how much time a company takes to turn its investments which is done from stock or any other financial resources into cash flows from sales.