PRIN.OF CORPORATE FINANCE (LL) >CUSTOM<
PRIN.OF CORPORATE FINANCE (LL) >CUSTOM<
12th Edition
ISBN: 9781260439137
Author: BREALEY
Publisher: MCG CUSTOM
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Chapter 29, Problem 5PS
Summary Introduction

To determine: The impact of changes on firm’s cash cycle.

Cash cycle is the overall circulation or cycle of cash commences from the payment of raw materials and ends with receipt of cash on goods sold.

Cash cycle=[Inventory holding period+Average collection period Average payment period]

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