A Firm Has an Operating Cycle of 120 Days, an Average

question 6

Multiple Choice

A firm has an operating cycle of 120 days, an average collection period of 40 days, and an average payment period of 30 days. The firm's average age of inventory is days.

• A) 50
• B) 70
• C) 80
• D) 90

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Definitions:

Id

In Freudian psychoanalysis, the part of the mind in which innate instinctive impulses and primary processes are manifested.

Superego

In psychoanalytic theory, the part of the personality that acts as a moral center, enforcing societal norms and values and controlling the desires of the id.

Psychic Energy

A concept in psychoanalytic theory referring to the force or drive behind human behavior, emotions, and thoughts.

Libido

Libido, in psychoanalytic theory, is the energy derived from sexual instincts and desires that drive individual behavior and psychological processes.