If a Firm Has a Cash Cycle of 39 Days

question 78

Multiple Choice

If a firm has a cash cycle of 39 days and an operating cycle of 88 days, what is its average payment period?

• A) 39 days
• B) 49 days
• C) 88 days
• D) 127 days

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Definitions:

Strategic Competitiveness

The ability of an organization to formulate and implement strategies that secure a sustainable competitive advantage in the market.

Threaten

To express intention to cause harm or take adverse action against someone in order to induce them to do or abstain from doing something.

Affirmative Action Programs

Policies designed to increase the employment opportunities for minorities and other underrepresented groups by taking positive steps to hire them.

Protected Groups

Categories of people who are legally shielded from discrimination on the basis of characteristics such as race, gender, age, or disability.