Suppose That LilyMac Photography Has Annual Sales of $218,000, Cost

question 75

Multiple Choice

Suppose that LilyMac Photography has annual sales of $218,000, cost of goods sold of $123,000, average inventories of $1,250, and average accounts receivable of $22,000. Assuming that all of LilyMac's sales are on credit, what will be the firm's operating cycle?

• A) 40.54 days
• B) 45.13 days
• C) 41.16 days
• D) 37.82 days

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Definitions:

Chronological Age

The actual age of a person or object, measured in years from the date of birth or creation.

Monozygotic Twins

Twins who originate from a single fertilized egg, making them genetically identical.

Fertilized Egg

A cell formed by the union of a male gamete (sperm) and a female gamete (egg), marking the beginning of embryonic development.

Embryos

Early stages of development in multicellular organisms after fertilization and before becoming fetuses.