It is January 2nd and senior management of Chester meets to determine their investment plan for the year. They decide to fully fund a plant and equipment purchase by issuing $10,000,000 in bonds. Assume the bonds are issued at face value and leverage changes to 2.7. Which of the following statements are true? Select all that apply. The total investment for Chester will be $205,250,150 Total liabilities will be $134,271,217 Chester’s long-term debt will rise by $9,000,000 Working capital will remain the same at $15,305,774 Total Assets will rise to $218,643,119

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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.