EOSCash flowA worked example, fixed figures

The cash flow impact simulatorMODELED

Terms, minimums and lead times are where working capital hides. Worked through on fixed example figures: the one-time cash impact and the annualized cost or benefit at your cost of capital. Everything is computed in this page; nothing is sent anywhere. When EOS runs the same scenario on your live records, every input arrives traced to the dated record that produced it, and the output is labeled the same honest word this page wears: modeled.

Baseline

Annual revenue, $Mnet sales for the entity in scope

Cost of goods sold, % of revenuedrives payables and inventory math

Days sales outstanding, DSOcurrent customer terms in practice

Days payables outstanding, DPOcurrent supplier terms in practice

Inventory on hand, $Mbook value across the network

Cost of capital, % per yearused to annualize freed or consumed cash

Levers

Customer terms change, days60 to 90 means enter 30; negative collects faster

Supplier terms change, daysnegative pays suppliers sooner

Early-payment discount captured, %on the spend you accelerate; 0 if none

Spend on accelerated terms, % of COGSthe share of purchases paying early

MOQ reduction, % of inventoryminimum order quantities renegotiated down

Lead-time reduction, daysreleases pipeline stock at daily COGS

Impact

One-time cash impact of the levers, all else equal

$0.0M

Annualized at your cost of capital: $0.0M per year, plus $0.0M per year in early-payment discounts

Cash conversion cycle: 0 days today, 0 days after

Every figure above is MODELED from the inputs on this page, the same truth label EOS applies to any scenario. Nothing here is an observed record, and this page never mixes the two. The disagreement between what your systems say these baseline numbers are is exactly the problem EOS exists to surface first.

Shown work, because the estate does not do black boxes: cash = ddpo*cogs/365 - ddso*rev/365 + moq%*inventory + lt*cogs/365; annualized = cash * capital%; discount gain = disc% * spend% * cogs; CCC = DSO + DIO - DPO, DIO from inventory over daily COGS. Lead-time release covers pipeline stock only; safety-stock effects vary by service level and are deliberately not estimated here.

From baseline to decision packet

Modeled Every figure below is calculated from the baseline and levers above and nothing else. No system is read; no figure here is observed.

Baseline

Assumptions

Scenarios

Each scenario scales the levers above: half of each, each as stated, or a quarter more. The scaling is an assumption, not a forecast of what is achievable. Whether a scenario is better or worse depends on the sign of the levers, so the downside and upside below are the worse and the better of the three outcomes.

Forecast

The selected scenario's one-time cash effect, phased in linearly over the ramp below, then flat. The ramp is an assumption.

Sensitivity

How far the base one-time cash moves when one lever moves a quarter either way, the others held. Largest swing first.

Downside and upside

Recommendation

Evidence

Decision packet

The packet gathers the baseline, assumptions, scenarios, forecast, sensitivity, recommendation and evidence into one object a finance lead can read and file. It prepares a decision; it does not make one. Built in this page, from the state above, labeled MODELED.

A packet becomes a proof when its hash is published and anyone can check it against the record. How a decision packet becomes a proof, on the verification ledger. How the value is measured afterward.

Run it on numbers your systems disagree about, and the simulator stops being hypothetical. Bring us the disagreement, or see the value page for what EOS moves and how it is measured.

Lifecycle value per asset lives in Portunus →