Impact of cash conversion cycle on cash holding – A study on FMCG sector
In today’s environment, cash conversion cycle is randomly used as a measure of liquidity of the organizations. Cash conversion cycle is considered as the length of time between raw-materials and collection of cash from debtors. It can be used as a benchmarking competitors or comparing companies. On...
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| Format: | Article |
| Language: | English |
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Growing Science
2017-11-01
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| Series: | Accounting |
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| Online Access: | http://www.growingscience.com/ac/Vol1/ac_2015_2.pdf |
| Summary: | In today’s environment, cash conversion cycle is randomly used as a measure of liquidity of the organizations. Cash conversion cycle is considered as the length of time between raw-materials and collection of cash from debtors. It can be used as a benchmarking competitors or comparing companies. On the other hand, Cash holding is one of the most important financial decisions that a manager has to make in any organization. Some organizations hold more cash and some organizations hold less cash. In this study, we perform a survey to make a relationship between Cash Conversion Cycle and Cash Holding. |
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| ISSN: | 2369-7393 2369-7407 |