ACCA FM ^F9 Classroom - Syllabus C2ab. Working Capital Cycle & Ratios ^{2 / 7}

a) Explain the cash operating cycle and the role of accounts payable and accounts receivable.
b) Explain and apply relevant accounting ratios, including: 
i) current ratio and quick ratio
ii) inventory turnover ratio, average collection period and average payable period
iii) sales revenue/net working capital ratio