Describe the cash conversion cycle

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1. Describe the cash conversion cycle. How can a financial manager use knowledge of the cash conversion cycle to better manage the working capital of a firm?

2. What are the advantages of matching the maturities of assets and liabilities? What are the disadvantages?

3. Describe some measures a firm can take to decrease its cash conversion cycle. Can the cash conversion cycle be negative? Explain.

Reference no: EM131419913

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