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3 Cards in this Set
- Front
- Back
- 3rd side (hint)
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Inventory holding period |
Inventories / cos x365 |
How many days the company holds inventory. The lower the better |
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Trade receivables collection period |
Trade receivables / revenue x365 |
How quick trade bedt is recovered How many days debtors take to pai theur debts. Good credit control management -tm the lowe the better |
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Trade payables collection period |
Trade payables / cos x365 |
How many days we take to pay our debts Neither higher or lower as we need to have good credit control measurements in place |
