Ignoring cost and other effects on the firm, which of the following measures would tend to reduce the cash conversion cycle?
A) Maintain the level of receivables as sales decrease.
B) Buy more raw materials to take advantage of price breaks.
C) Take discounts when offered.
D) Forgo discounts that are currently being taken.
E) Offer a longer deferral period to customers.

Question

Quizplus · Accepted Answer

The Answer of Ignoring cost and other effects on the firm, which of the following measures would tend to reduce the cash conversion cycle?
A) Maintain the level of receivables as sales decrease.
B) Buy more raw materials to take advantage of price breaks.
C) Take discounts when offered.
D) Forgo discounts that are currently being taken.
E) Offer a longer deferral period to customers.

Ignoring Cost and Other Effects on the Firm, Which of the Following