1
Q
CAPEX > Depreciation
A
Company is in investment phase
2
Q
CAPEX = Depreciation
A
Company is maintaining its capacity
3
Q
CAPEX < Depreciation
A
Company is divesting
4
Q
Net Working Capital
A
= Receivables + Inventories – Payables +/- Accruals
5
Q
NWC Turnover Ratio
A
= NWC365 / Annual Sales(1+VAT)
6
Q
DPO
A
= Account Payables*365 / COGS
7
Q
DSI
A
= Inventories*365 / COGS
8
Q
DSO
A
= Inventories*365 / Annual Sales
