22. Cash Cycle. The operating cash cycle of a multina- tional firm goes from cash collection from...
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22. Cash Cycle. The operating cash cycle of a multina- tional firm goes from cash collection from cus- tomers, cash holding for anticipated transaction needs (the transaction motive for holding cash), pos- sible cash repositioning into another currency, and eventual cash disbursements to pay operating expenses. Assuming the initial cash collection is in one currency and the eventual cash disbursement is in another currency, what can a multinational firm do to shorten its cash cycle and what risks are involved?
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Related Book For
Fundamentals Of Multinational Finance
ISBN: 9780321541642
3rd Edition
Authors: Michael H. Moffett, Arthur I. Stonehill, David K. Eiteman
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