The Length of Time Between the Sale of Inventory and the Collection

question 92

Multiple Choice

The length of time between the sale of inventory and the collection of cash from receivables is called the:

• A)operating cycle.
• B)inventory period.
• C)trade receivables period.
• D)trade payables period.
• E)cash cycle.

---

Definitions:

Retentive

Pertaining to a device or process that retains its state or data even after power is lost or reset.

Program Modification

The process of making changes or updates to software or a set of instructions to correct errors or enhance functionality.

Energized

Refers to equipment that is supplied with electrical power or is in a state of being electrically charged.

Sequencer

A device or software that arranges and triggers a series of events or operations in a particular order.