FIN 419 Week 3 Cash Conversion Cycle Analysis

FIN 419 Week 3 Cash Conversion Cycle Analysis

Entire Course Link

https://plus.google.com/u/0/108200033792883877670/posts/dWT4sDYbQKM

 

 FIN 419 Week 3 Cash Conversion Cycle Analysis
 

Purpose of Assignment 

The purpose of this assignment is to help students gain a better understanding of calculations of cash flow and strategies to increase it. 

Assignment Steps 

Select a multinational company from the following industries:

 

 

 

Retail
 

 

Pharmaceutical
 

 

Computer Hardware
 

 

Manufacturing
 

 

Automotive
 

 

Review the selected company’s most recent financial statements. 

Calculate the following cash conversion cycle ratios based on the financial statements using Microsoft® Excel®:

 

 

 

Average inventory
 

 

Inventory turnover rate
 

 

Production cycle
 

 

Average account receivable
 

 

Account receivable turnover
 

 

Average collection cycle
 

 

Explain in 700 words the importance of the cash conversion cycle, including:

 

 

 

Discuss the purpose of the cash conversion cycle and its components.
 

 

Analyze the results obtained in the cash conversion cycle equations.
 

 

Propose strategies to increase the cash flows of the company under study.
 

 

Format your paper consistent with APA guidelines. 

Click the Assignment Files tab to submit your assignment.
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