Section outline

  • Another important dimension of "performance" is how efficiently the firm manages its assets. This section presents the most popular financial ratios to assess this efficiency. We get to know ratios such as days inventory outstanding, days sales outstanding, and days payables outstanding. We also get familiar with the firm's Cash Conversion Cycle.

    • This section's reading assignment and review questions are listed below.

    • Reading: Activity Ratios Book
    • Quiz: Activity Ratios
      Students must
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      Receive a grade