Gencom International Has Inventory Days of 22,and Accounts Payable Days

question 85

Multiple Choice

Gencom International has inventory days of 22,and accounts payable days of 37.If its cash conversion cycle is 28 days,what is Gencom's accounts receivable days?

• A)43 days
• B)31 days
• C)13 days
• D)87 days
• E)29 days

Understand the concept of price discrimination and its application in various business contexts.

Identify the conditions necessary for price discrimination to be effective.

Distinguish between direct and indirect price discrimination.

Analyze the impact of price discrimination on consumer and producer surplus.

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Definitions:

Short-Run Profits

Profits earned by a firm in the short term, often before all types of costs have been fully adjusted or realized.

Long-Run Profits

Long-run profits refer to the earnings a firm can expect over a period during which all inputs can be adjusted, reflecting the company's true economic performance.

Oligopoly

A market structure in which a few firms dominate the industry, leading to limited competition and potentially high prices for consumers.

Concentration Ratio

A measure used in economics to assess the degree of concentration of market power in an industry, often expressed as the percentage of market share held by the top firms.