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:

Medical Asepsis

Measures taken to reduce the number of microorganisms, such as handwashing and wearing examination gloves, that do not necessarily eliminate microorganisms; also called clean technique.

Microorganisms

Microscopic organisms, including bacteria, viruses, fungi, and protozoa, that can be found in almost every environment on Earth.

Hepatitis B

A serious liver infection caused by the hepatitis B virus that can lead to chronic liver disease, liver cancer, and death if not properly treated.

Hepatitis C

A viral infection that causes liver inflammation, potentially leading to serious liver damage, and spread primarily through contact with infected blood.