WC POLICY

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May 10, 2018 at 4:15 pm #451065
humai
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Sir

Aggressive investment policy
1)It results in higher risk, lower cost and higher profitability, right?
2) But does it lead to longer cash operating cycle or does it lead to shorter cash operating cycle?

Conservative investment policy
3)It results in lower risk, higher cost and lower profitability, right?
4) But does it lead to longer cash operating cycle or does it lead to shorter cash operating cycle?
May 10, 2018 at 6:08 pm #451090
John Moffat
Keymaster
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Statements 1 and 3 are correct. However the operating cycle is not dependent on the policy.
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