Solve: Working Capital and Cash Conversion Cycle
Not what you're looking for?
A new computer system allows your firm to more accurately monitor inventory and anticipate future inventory shortfalls. As a result, the firm feels more able to pare down its inventory levels. What effect will the new system have on working capital and on the cash conversion cycle?
Purchase this Solution
Solution Summary
The expert examines the working capital and cash conversion cycles.
Solution Preview
Working Capital = Current Assets - Current Liabilities
Cash Conversion Cycle = AR Days + Inventory Days - Payable Days
Due to the new system, ...
Purchase this Solution
Free BrainMass Quizzes
Organizational Leadership Quiz
This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.
IPOs
This Quiz is compiled of questions that pertain to IPOs (Initial Public Offerings)
Situational Leadership
This quiz will help you better understand Situational Leadership and its theories.
Basics of corporate finance
These questions will test you on your knowledge of finance.
Writing Business Plans
This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.