The cash conversion cycle refers to the time it takes to convert a sale into net income.

Name: The cash conversion cycle refers to the time it takes to convert a sale into net income.
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The cash conversion cycle refers to the time it takes to convert cash spent on inventory back into cash. It includes the time it takes to sell inventory, collect accounts receivable, and pay accounts payable. It is a measure of a company's efficiency in managing its working capital.

The Cash Conversion Cycle Refers to the Time It Takes