A company's operating cycle, or cash conversion cycle, shows the length of time it takes a company to buy inventory, convert it into sales and collect the "accounts receivable" revenue from the sales.

Managing the working capital of a business tends to be a balancing act that requires a deft touch in order for the company to operate smoothly, says Michael Hengl, senior vice president and business ...

Operating working capital measures the amount of cash required to finance the components of a company's operating cycle -- the process by which a business buys and sells inventory, pays suppliers and ...