ESSENTIALS CORPORATE FINANCE + CNCT A.
ESSENTIALS CORPORATE FINANCE + CNCT A.
9th Edition
ISBN: 9781259968723
Author: Ross
Publisher: MCG CUSTOM
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Chapter 16, Problem 9CTCR
Summary Introduction

To discuss: Whether the firms can increase their payable period to reduce their cash cycle.

Introduction:

Payable period:

Accounts payable period is also termed as day’s payable period, which is the period the company takes to pay its invoice from the creditors.

The formula to calculate accounts payable period:

Accounts payable period=No of days or monthsPayable turnover

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Chapter 16 Solutions

ESSENTIALS CORPORATE FINANCE + CNCT A.

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