The ________ Is the Time Period That Elapses from the Point

question 37

Multiple Choice

The ________ is the time period that elapses from the point when the firm makes the outlay to purchase raw materials on account to the point when payment is made to the supplier of the goods.

• A)cash conversion cycle
• B)average payment period
• C)average age of inventory
• D)average collection period
• E)none of the above

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Definitions:

Satisfaction

The feeling of pleasure or fulfillment that comes from meeting a desire, expectation, or goal.

Marginal Utility

The additional satisfaction or benefit received by consuming one more unit of a good or service.

Total Utility

The total satisfaction or benefit received by consuming a certain amount of goods or services.

Consumption

The use of goods and services by households, leading to the satisfaction of wants and needs.