Which One of the Following Will Decrease the Operating Cycle

question 75

Multiple Choice

Which one of the following will decrease the operating cycle?

• A) Paying accounts payable faster
• B) Discontinuing the discount given for early payment of an accounts receivable
• C) Decreasing the inventory turnover rate
• D) Collecting accounts receivable faster
• E) Increasing the accounts payable turnover rate

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Definitions:

Vegetable Fat

A type of fat derived from plant sources, often used in cooking and food production, known for its potential health benefits compared to animal fats.

Nutritional Intake

The amount and type of food and drink consumed by an individual, impacting health and bodily functions.

Energy Needs

The amount of energy, measured in calories, that a person requires to maintain bodily functions, support daily activities, and achieve a healthy weight.

Anabolism

The constructive part of metabolism, involving the synthesis of complex molecules from simpler ones, leading to growth and new tissue formation.