DIO — inventory days
35
DSO — collection days
40
DPO — payment days
33
Cash conversion cycle
41 days
The cycle, in days
Inventory (DIO)
35
+ Receivables (DSO)
40
− Payables (DPO)
33
Roughly ₹47.50 L is tied up in the cycle. Every day you cut off the CCC — faster collection, leaner stock, or longer supplier terms — frees about ₹1.15 L.