In the Cash-To-Cash Cycle Calculation, If the Cost of Goods

question 1

Multiple Choice

In the cash-to-cash cycle calculation, if the cost of goods sold per day increases, but all other data such as average inventory and average payables and receivables remain the same, then the value of cash-to-cash cycle will

• A)go down
• B)go up
• C)stay the same
• D)May go up or down, but cannot tell without more information

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