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Unformatted text preview: days. The AP period reduces the Cash Conv Cycle quite a lot which is a good thing. I believe that Superior Outboard Motors is using an aggressive financing policy. The reason I say this is they seem to finance their fixed assets with capital and some of the current assets with short term credit. The company does not seem like it is conservative because they seem to use financing options instead of the capital for everything. AR Period = Inventory Period = AP Period = Operating Cycle = Cash Conv Cycle = 0.00 10.00 20.00 30.00 40.00 50.00 60.00 70.00 80.00 90.00...
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- Spring '12