Your fiRm Currently Has an Operating Cycle of 92 Days

question 99

Multiple Choice

Your firm currently has an operating cycle of 92 days. You are analyzing some operational changes which are expected to decrease the accounts receivable period by 4 days and decrease the
Inventory period by 5 days. The accounts payable turnover rate is expected to increase from 8 to 9
Times per year. If all of these changes are adopted, what will be your firm's new operating cycle?

• A) 77.93 days
• B) 80.27 days
• C) 81.93 days
• D) 83.00 days
• E) 84.08 days

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Definitions:

CEOs

Chief Executive Officers (CEOs) are the highest-ranking executives in a company or organization, responsible for making major corporate decisions, managing the overall operations and resources, and acting as the main point of communication between the board of directors and corporate operations.

Alienation

Marxist concept to describe the process by which workers lack connection to what they produce and become separated from themselves and other workers.

Exploitation

The act of using someone or something unfairly for one's own advantage, often in a context of power imbalance and to the detriment of the exploited party.

Class Conflict

The conflict and opposition present in society resulting from the differing economic interests and aspirations of people from various social classes.