A company's operating cycle, or cash conversion cycle, shows the length of time it takes a company to buy inventory, convert it into sales and collect the "accounts receivable" revenue from the sales.
The cash conversion cycle is one way to measure the effectiveness of the overall health of your company. There are three key data points to the equation: This combination expresses the length of time ...
Any small business person is acutely aware of the importance of liquidity -- having enough cash available to pay the bills. That's why business owners and managers monitor the cash conversion cycle, ...
Learn how to tell which retailers are performing well and which ones have some work to do. The retail industry is an interesting area of the market. It's a relatively simple business to understand and ...
How to analyze a company's inventory as a measure of performance. Get back to the basics with our Foolish back-to-school special! Start your journey here. Although it would take some grade-A ...