Melons 'R' Us, a National Chain of Fruit Stands, Has

question 151

Multiple Choice

Melons 'R' Us, a national chain of fruit stands, has an inventory period of 65 days, an accounts payable period of 30 days, and an accounts receivable period of 24 days. The CFO wants to
Implement a discount plan in order to reduce the receivables period to 18 days. What will happen to
The firm's operating cycle?

• A) It will fall from 89 days to 83 days.
• B) It will fall from 59 days to 53 days.
• C) It will be unaffected by the change in policy.
• D) It will rise from 85 days to 91 days.
• E) It will rise from 81 days to 87 days.

---

Definitions:

Fetal Alcohol Syndrome

A condition in a child that results from alcohol exposure during the mother's pregnancy, causing brain damage and growth problems.

Academic Functioning

Refers to the educational performance and the ability to meet the demands and expectations of academic environments.

Autism Spectrum Disorder

An impairing condition identifiable by trouble in communicating and interacting socially, as well as restricted or repetitive behaviors and thoughts.

Psychosocial Therapy

Therapeutic approaches that focus on social and interpersonal factors to improve psychological well-being and mitigate mental health disorders.