Help  |  Pay an Invoice  |  My Account  |  CPE Log  |  Log in

20WC-1733: Analyzing A Company's Liquidity Using The Cash Conversion Cycle (Webinar)

If you have questions about this event, please call us at 952-831-2707.

Tuesday, March 9, 2021
1:00pm - 3:00pm Central Time
2 CPE ()

What is the Cash Conversion Cycle? How do you calculate it? What does it really mean in regards to a company's liquidity position?Learn how the CPA 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 types of inventory, collecting account receivables efficiently, and paying the account payables in a "judicious" manner.Additionally, 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 related use of the Borrowing Base Certificate (BBC) will also be discussed.Conclude with a review of related "company" and "business owner" liquidity issues and models.The concepts of the Cash Conversion Cycle will be illustrated through a case study.

Major subjects

  • 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
  • Use of the Borrowing Base Certificate (BBC)
  • Related company and business owner liquidity models
  • The Cash Conversion Cycle applied through case study

Learning objective(s)

  • Determine the Cash Conversion Cycle and its impact on the company's liquidity
  • Identify inventory issues-cost methods, financing, and cost control
  • Explore receivable collection issues
  • Analyze payable management and discounts
  • Utilizing the Borrowing Base Certificate (BBC)
  • Recognize related "company" and "business owner" liquidity issues
  • Apply the Cash Conversion Cycle concepts through case study

Who should take this program?

CPAs, CFO/controllers, financial managers, auditors, financial analysts and practitioners.

Fees

Our records indicate you are a nonmember. If you register, you will be charged $101.00 (Standard Nonmember Fee). Members: Please log in to receive member fee.
Standard Member Fee $75.00
checkmark Standard Nonmember Fee $101.00

More program information

Instructor David Osburn, MBA
Location Online
Area
of study
Management
Field(s)
of study
Finance - Technical (2.0)
Level Intermediate
Format Group Internet Based
Sponsor CalCPA Education Foundation
NASBA ID#: 104822
Prerequisites Prereq. None
Advance
prep
None
Cancellation
policy
Receive a full refund if you cancel at least four business days before the event start date. Learn more

Not a member? Join the MNCPA to start saving on CPE and accessing members-only benefits.

Search CPE catalog

If you have questions about this event, please call us at 952-831-2707.