Section 6: Combining the Balance Sheet and Income Statement 

Course Description

This course will: analyze the relationship between the balance sheet and income statement and explain key ratios that connect the two statements; explain the concept of the cash cycle; calculate and evaluate receivable turnover ratios; calculate and evaluate inventory turnover ratios; calculate and evaluate payable turnover ratios; calculate the cash cycle and evaluate the results; explain the concept of working capital; and calculate and evaluate the sales to working capital ratio.

60 Minutes