Fundamentals of Corporate Finance Alternate Edition
Fundamentals of Corporate Finance Alternate Edition
10th Edition
ISBN: 9780077479459
Author: Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Chapter 18, Problem 3QP

Changes in the Operating Cycle [LO1] Indicate the effect that the following will have on the operating cycle. Use the letter I to indicate an increase, the letter D for a decrease, and the letter N for no change:

a. Average receivables goes up.

b. Credit repayment times for customers are increased.

c. Inventory turnover goes from 3 times to 6 times.

d. Payables turnover goes from 6 times to 11 times.

e. Receivables turnover goes from 7 times to 9 times.

f. Payments to suppliers are accelerated.

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Fundamentals of Corporate Finance Alternate Edition

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The KEY to Understanding Financial Statements; Author: Accounting Stuff;https://www.youtube.com/watch?v=_F6a0ddbjtI;License: Standard Youtube License