WCC commentary

The inventory holding days for the Co. have increased from _ days to _ days, and this means it is taking longer for inventory items to be sold by the company. There are increasing costs (e.g.  storage) and risks (e.g. obsolescence) associated with holding inventory longer. The products sold by the co. are not very liquid in nature.

The rate of collection of trade receivables for the Co has increased from _ days to _days, and this means that it is taking longer for Hemmins to receive the cash from its customers from its credit sales. There…