Wu, Wenfeng; Rui, Oliver M.; Wu, Chongfeng - In: Journal of Banking & Finance 36 (2012) 11, pp. 2868-2883
among Chinese listed firms. We first document an asymmetric effect of trade payables and receivables on cash holdings, in … that firms hold an additional $0.71 of cash for every $1 of credit payable but use $1 of receivables as a substitute for … payables while substituting more receivables for cash. A more highly developed financial sector helps firms to better use trade …