If a Firm Has a Cash Cycle of 47 Days

question 83

Multiple Choice

If a firm has a cash cycle of 47 days and an operating cycle of 92 days, what is its average payment period?

• A) 45
• B) 47
• C) 92
• D) 139

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Definitions:

Moral Minimum

The minimum degree of ethical behavior expected of a business firm, which is usually defined as compliance with the law.

Ethical Behavior

The practice of conducting oneself according to an accepted set of moral principles, often in a professional context.

Firm

Another term for a business or company, often used in legal or formal contexts.

Social Media

Forms of communication through which users create and share information, ideas, messages, and other content via the Internet.