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How Can CFOs Improve Their Dynamic Cash Flow Management Results? Some CFOs have always taken this cashforecasting and cash flow management approach. Days sales outstanding. Averagedaysdelinquent. Operating cash flow. CFOs should keep an eye on key performance indicators.
AverageDayDelinquent. The averagedaydelinquent measures how long it takes customers to pay their invoices. A high charge-off rate indicates that the collections team has not effectively converted invoices into cash payments, which makes low charge-off rates ideal. CashForecast Accuracy.
Manual cash application consumes time and resources that could be better allocated to higher value tasks. Many companies want to automate this process to optimize their cash flow and enable more precise cashforecasting. This includes an accurate prediction of how much cash your business will have at any point in time.
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