According to Source 2 how did Amazons Cash Conversion Cycle in 2013 compare to other retailers…
Part A: Company Financing
1. According to Source 2 how did Amazons Cash Conversion Cycle in 2013 compare to other retailers
in that year? What does it say about Amazons working capital management?
2. According to Source 2 why is having a negative Cash Conversion Cycle important for a company
wanting to experiment with investing in new products that could fail or succeed?
3. If Amazon couldnt use cash to fund its new projects, what two financing options would they have
available to them (see Source 2)? Discuss what advantages and disadvantages these financing
options would have for Amazon.
4. Based on Source 1 (Annual Report) what is Amazons Cash Conversion Cycle in 2018? How does
this compare with the Cash Conversion Cycle in 2013 (Source 2) and what does it say about
Amazons supplier relationships?
5. Based on Pages 6-14 of Amazons Annual Report (Source 1) what do you believe are the three most