The cash conversion cycle of a firm is presented below. What conclusion is BEST supported by this information?

                                                                           2008                           2009                         2010

Days of sales outstanding                                   48.3                           44.7                             46.6

Days of sales in inventory                                   40.8                           20.6                             10.8

Days of payables outstanding                             40.9                          62.4                              63

Cash conversion cycle                                        48.2                            2.9                             (5.6)

The firm is in worse shape in 2010 than it was in 2008

The firm's efforts to reduce the days of sales in inventory are paying off.

The firm's days of sales outstanding is relatively unchanged since 2008 and thus merits further investigation

The firm's credit terms appear lenient, resulting in few days of payable outstanding.