Which Mode of Transportation Is the Least Expensive

question 26

Multiple Choice

Which mode of transportation is the least expensive?

• A)Air
• B)Truck
• C)Rail
• D)Water

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Definitions:

Cash Cycle

The time between cash disbursement and cash collection.

Receivables Balance

The total amount of money owed to a company by its customers for goods or services delivered or used but not yet paid for.

Accounts Receivable Turnover

This ratio measures how efficiently a company collects revenue from its customers by dividing total sales by the average accounts receivable during a specific period.

Credit Sales

Sales transactions where the payment is deferred to a future date, essentially extending credit to the purchaser.