Your company's operating cycle provides a gauge of how long it has cash tied up in operations, which is why it's also commonly referred to as the cash conversion cycle. The operating cycle is a rough ...
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.
Troy Segal is an editor and writer. She has 20+ years of experience covering personal finance, wealth management, and business news. Operating cash flow shows cash generated from business operations.
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