Available in:

OnDemand Course

Analyzing the Company's Liquidity Using the Cash Conversion Cycle

Learn what you need to know about the cash conversion cycle and how you calculate it in addition to what it means to a company's liquidity position.

During this topic, you will learn how the bank lender should calculate and interpret the Cash Conversion Cycle formula to see its direct impact on the company's liquidity. Included in the formula will be an assessment of acquiring inventory, collecting account receivables efficiently, and paying the account payables in a judicious manner. Additionally, this program will cover inventory accounting costing methods, financing inventory, and controlling inventory costs. The effective collection of receivables will also be reviewed including negotiating reasonable terms. Furthermore, the timing of paying the payables will be explored including the impact of taking discounts. The topic will also cover other company liquidity ratios including the current and quick ratios and the liquidity of the business owner/guarantor. The concepts of the Cash Conversion Cycle will be illustrated through a case study.

89 minutes
Course Exam
Certificate of Completion
Purchase Options

Add to Wishlist

More Program Information

Why Lorman?

Over 37 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.

Agenda

What Is the Cash Conversion Cycle? How Is It Calculated? How Does It Directly Impact a Company's Liquidity?

Inventory Issues Including Costing Methods, Financing, and Cost Containment

Receivables and Reasonable Terms

Payables and the Benefit of Discounts

Other Company Liquidity Ratios

Liquidity Analysis of the Business Owner/Guarantor

The Cash Conversion Cycle Applied Through Case Study

Purchase Options

Add to Wishlist

More Program Information

Why Lorman?

Over 37 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.

Credits

OnDemand Course

This course was last revised on February 24, 2020.

Call 1-866-352-9540 for further credit information.

This program does NOT qualify, nor meet the National Standard for NASBA accreditation.

Purchase Options

Add to Wishlist

More Program Information

Why Lorman?

Over 37 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.

Faculty

David L. Osburn, M.B.A., CCRA

David L. Osburn, M.B.A., CCRA

Osburn & Associates, LLC

  • Founder of Osburn & Associates, LLC
  • Contract CFO clients include medical practitioners, financial institutions, law firms, CPA firms, architects, real estate developers, and contractors
  • Extensive professional background of over 30 years encompasses 21 years as a business trainer/contract CFO and 16 years as a bank commercial lender including the position of vice president/senior banking officer
  • Banking credentials include loan underwriting, loan work-out, management, and business development
  • Has been an adjunct college professor for over 30 years including the College of Southern Nevada
  • Holds the professional designation of Certified Credit & Risk Analyst (CCRA) as granted by the National Association of Credit Management (NACM)
  • M.B.A. degree, Utah State University; B.S. degree in finance, Brigham Young University; graduate of the ABA National Commercial Lending School, University of Oklahoma
Purchase Options

Add to Wishlist

More Program Information

Why Lorman?

Over 37 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.

All of your training, right here at Lorman

All of your training, right here at Lorman.

Pay once and get a full year of unlimited training in any format, any time!

  • OnDemand Courses
  • Live Webinars
  • MP3 Downloads
  • Course Manuals
  • Executive Reports
  • White Papers and Articles

Additional benefits include:

  • State Specific Credit Tracker
  • All-Access Pass Course Concierge

Questions? Call 877-296-2169 to speak with a real person.

Sign Up Today
With This Course

Access to all training products for one year
$699/year

Unlimited Lorman Training

With the All-Access Pass there is no guessing what you will need for your yearly training budget. $699 will cover all of your training needs for an entire year!

Easy Registrations

Once you purchase your All-Access Pass you will never be any further than one-click away from attending any Lorman training course.

Invest in Yourself

You haven't gotten to where you are professionally by luck alone; it's taken a lot of hard work and training. Invest in yourself with the All-Access Pass.

Product ID: 407506
Purchase Options

Available in Multiple Formats

Purchase this course and learn on your schedule!