| Variables | Variable definition |
| DSO | Accounts receivables/sales × 365 |
| DIH | Inventories/purchases × 365 |
| DPO | Accountspayable/purchases × 365 |
| CCC | Accounts receivables/sales × 365 + Inventories/purchases × 365 − Accountspayable/purchases × 365 |
| EPU | Monthly average of China’s economic policy uncertainty index as the quarter index |
| CFO | Net cash flow from operating activities/total assets |
| LEV | Liabilities/total assets |
| SALEGROWTH | sales amount difference from the previous quarter divided by the sales of the previous quarter |
| GDPGROWTH | annual GDP growth |
| ROA | profitability |
| SIZE | logarithm of total assets |
| FA | fixed asset divided by total assets |