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Return on Freed Cash Calculator
This calculator will compute the return on freed cash, given the accounts receivable balance before a policy change, the accounts receivable balance after a policy change, and the rate of return.
Please enter the necessary parameter values, and then click 'Calculate'.
- When a company enacts a change in policy to free up cash, such as by altering the credit terms for its accounts receivable, the newly available cash can be invested elsewhere to produce additional returns for the company.