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    Working Capital

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    Chapter 19: Quiz Problem 5
    Fundamentals of Corporate Finance, 5e ISBN: 0073012386 Author: Richard A. Brealey

    5. Managing Working Capital. 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?

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    https://brainmass.com/business/working-capital-management/working-capital-333437

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    The working capital will increase as less cash will be tied up ...

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    The solution does a great job of answering the question. The solution is very easy to follow along and can be understood by anyone with a basic understanding of the subject. Overall, an excellent response to the questions being asked.

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