What Is the Operating Cycle? Describe a Business Entity with an Operating

question 110

Essay

What is the operating cycle? Describe a business entity with an operating cycle of less than six months and a business with an operating cycle of more than one year.

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Definitions:

Cooperative

A business organization owned and operated by a group of individuals for their mutual benefit where members share in the decision-making process and profits.

Marketplace

A platform, location, or service where transactions between buyers and sellers are facilitated.

Joint Stock Company

A company whose stock is owned jointly by the shareholders, who have the rights to transfer their shares and are liable only to the extent of their investment.

Shares Of Stock

Represents units of ownership interest in a corporation or financial asset, providing a distribution of profits in the form of dividends.