Which One of the Following Will Increase the Cash Cycle

question 26

Multiple Choice

Which one of the following will increase the cash cycle?

• A)Increasing the cash discounts given to customers who pay their accounts early
• B)Having a larger percentage of customers paying with cash instead of credit
• C)Paying your suppliers earlier to receive the discount they offer
• D)Buying less raw materials to have on hand
• E)Ordering raw materials inventory only when you need it rather than ahead of time

---

Definitions:

Erik Erikson

A psychologist known for his theory on psychological development of human beings.

Adolescence

A developmental stage between childhood and adulthood characterized by significant physical, psychological, and social changes.

Adolescence

A developmental stage that marks the transition from childhood to adulthood, characterized by significant physical, psychological, and social changes.

Life Cycle

The series of stages through which an organism passes from birth through maturity, reproduction, and eventually death.