The company has a 10% interest bearing, promissory note of 50,000, payable after 5 years. Sales during the year is 363,375 (20% earnings after taxes). Tax rate is 15%. What is the company's degree of financial leverage?  (Round off to two decimal places between computations. Round off the final answer to two decimal places. Example of writing your answer 2.58 times)

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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.