Which Statement Is True

question 53

Multiple Choice

Which statement is true?

• A)If a firm decreases its inventory period, its accounts receivable period will also decrease.
• B)The longer the cash cycle, the more cash a firm typically has available to invest.
• C)A firm would prefer a negative cash cycle over a positive cash cycle.
• D)Decreasing the inventory period will automatically decrease the payables period.
• E)Both the operating cycle and the cash cycle must be positive values.

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Definitions:

Crowd

A large number of people gathered together, typically in a disorganized or unruly way.

Audiences

Groups of viewers or listeners of a particular event, show, performance, or presentation.

Interpersonal Processes

The mechanisms of interaction and communication between individuals that influence thoughts, feelings, and behaviors.

Queues

A line or sequence of people or vehicles awaiting their turn to be attended to or to proceed.