Drefus,Inc

question 87

Multiple Choice

Drefus,Inc.has an inventory turnover of 16 and an accounts receivable turnover of 10.The accounts payable period is 51 days.What is the length of the cash cycle?

• A)8.31 days
• B)9.57 days
• C)10.07 days
• D)11.23 days
• E)12.79 days

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Definitions:

Fees Earned

Income generated from services provided or work completed.

Statement Of Cash Flows

A financial report that shows how changes in the balance sheet and income statement affect cash and cash equivalents.

Operating Activity

Activities that relate directly to the operations of the company, including production, sales, and other core business functions.

Investing Activity

Financial operations related to acquiring or disposing of non-current assets, crucial for budgeting and strategic planning of an organization's capital.