Why does cash flow from operations increase if the firm speeds up the collection of receivables, delays

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Why does cash flow from operations increase if the firm speeds up the collection of receivables, delays paying its bills, or increases its inventory turnover ratio?
Inventory Turnover Ratio
Inventory Turnover RatioThe inventory turnover ratio is a ratio of cost of goods sold to its average inventory. It is measured in times with respect to the cost of goods sold in a year normally.    Inventory Turnover Ratio FormulaWhere,...
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Introduction to Corporate Finance

ISBN: 978-1119171287

4th edition

Authors: Laurence Booth, Sean Cleary, Ian Rakita

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