The Difference Between a Firm's Operating Cycle and Its Cash

question 42

Multiple Choice

The difference between a firm's operating cycle and its cash cycle is:

• A)there is no difference between the cash and operating cycles.
• B)its accounts receivable days.
• C)its accounts payable days.
• D)its inventory days.

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Definitions:

Area

is a measure of the extent of a two-dimensional surface or shape, expressed in square units.

Biosphere

The global ecological system integrating all living beings and their relationships, including their interaction with the elements of the lithosphere, hydrosphere, and atmosphere.

Inhabited

Being lived in or occupied by people, animals, or other organisms.

Organisms

Individual living entities that can carry out life processes independently.