Cash Conversion Cycle (CCC) Combines Three Factors: the Inventory Conversion

question 19

True/False

cash conversion cycle (CCC) combines three factors: The inventory conversion period, the average collection period, and the payables deferral period, and its purpose is to show how long a firm must finance its working capital Other things held constant, the shorter the CCC, the more effective the firm's working capital management.

---

Definitions:

Americanized

The process of adopting or being influenced by the cultural practices, values, or aspects of American life.

Machismo

A cultural attitude or behavior that emphasizes male strength, dominance, and virility, often at the expense of females or perceived weaknesses.

Traditional Sense

Pertaining to customs, practices, or ideas that have been inherited from ancestors or established in the past.

Mestizo

A person of mixed European and Indigenous American descent, commonly used in Latin America.