Who Is Regarded the Main User of Accounting Information in China

question 12

Multiple Choice

Who is regarded the main user of accounting information in China?

• A)Listed companies
• B)Banks
• C)Investors
• D)The government

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Definitions:

Operating Cycle

The operating cycle is the duration it takes for a business to convert its inventory and other inputs into cash through sales, encompassing the production and sales process.

Accounts Receivable Turnover

A financial metric that measures how frequently a business can convert its accounts receivable into cash over a specific period.

Inventory Turnover

Inventory turnover is a ratio showing how many times a company's inventory is sold and replaced over a period, indicating the efficiency of inventory management.

Operating Cycle

The period between the acquisition of inventory by a business and the collection of accounts receivable generated from the sale of that inventory.