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What is Cash Conversion Cycle (CCC)? How it can be calculated?

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Question added by Mohamed Ashour , Accounting Manager , Al Riyadiah Medical Company
Date Posted: 2016/01/19
Greeshna Bhatia
by Greeshna Bhatia , Internship , Etihad Airways,

Cash conversion cycle is basically the amount of time it takes for a raw material to covert into cash. It measures management efficiency 

It is calculated by adding days of inventory in hand and days of receivables and then subtracted with days of payable. 

Short the figure efficient the management, however it needs be related with industry averages

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