The cash conversion cycle calculation uses elements of the operating cycle equation, including raw materials, work-in-process, finished goods and bills receivable, in addition to the days ...

If the company has $900,000 in cash flow from operations as well as $150,000 in current liabilities, the operating cash flow ratio is ($900,000 divided by $150,000) equals 6.0 times.

A surplus of cash can mean financial stability, but it can also indicate a reluctance (or inability) to invest in growth.

A company that generates cash isn’t automatically a winner. Some businesses stockpile cash but fail to reinvest wisely, ...

The article What’s the Difference Between Operating Cycle and Cash Cycle originally appeared on Fool.com. Try any of our Foolish newsletter services free for 30 days.

Usually each cycle increases cash flow if the sales are profitable, and companies try to minimize this ratio; however, for Under Armour, this ratio has increased from 107 in 2012 to almost 117 in ...

The working capital ratio is calculated by dividing current assets by current liabilities. For this calculation, current assets are assets a company reasonably expects to be converted into cash ...

An operating cycle represents the amount of time it takes a company to acquire inventory, sell that inventory, and receive cash from its customers in exchange for the inventory sold.