Which One of the Following Can Occur If the Operating

question 50

Multiple Choice

Which one of the following can occur if the operating cycle decreases while both the accounts receivable and the accounts payable periods remain constant?

• A)Inventory period remains constant
• B)Cash cycle increases
• C)Inventory turnover rate increases
• D)Accounts receivable turnover rate increases
• E)Cash cycle remains constant

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Definitions:

Specific Goals

Clearly defined, targeted objectives that an individual or organization aims to achieve within a specific timeframe.

Overstate Productivity

To exaggerate or claim a higher level of efficiency and output than is actually the case.

Deserved Reward

A benefit or recognition that is appropriately given in recognition of someone's efforts, achievements, or qualifications.

Intimidation Tactic

A strategy designed to frighten the opposition into compliance or agreement.