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The spectral sequence in order of decreasing temperature is
Precautionary Demand
Precautionary demand refers to the desire to hold cash or easily liquidatable assets to safeguard against unexpected financial needs or market fluctuations.
Unexpected Opportunities
Situations or prospects that arise unexpectedly, offering potential benefits or advantages not initially planned for.
Cash Conversion Cycle
A metric that shows the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.
Operating Cycle
The period between the acquisition of inventory and the collection of cash from receivables.
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