Zervos Inc

question 125

Multiple Choice

Zervos Inc.had the following data for last year (in millions) .The new CFO believes (1) that an improved inventory management system could lower the average inventory by $4,000,(2) that improvements in the credit department could reduce receivables by $2,000,and (3) that the purchasing department could negotiate better credit terms and thereby increase accounts payable by $2,000.Furthermore,she thinks that these changes would not affect either sales or the costs of goods sold.If these changes were made,by how many days would the cash conversion cycle be lowered?

• A)34.0 days
• B)37.4 days
• C)41.2 days
• D)45.3 days
• E)49.8 days

Understand how to calculate various types of variances, including material, labor, and overhead variances.

Comprehend the concept of variance analysis and its significance in managerial decision-making.

Recognize the application and preparation of flexible budgets in different scenarios.

Interpret standard cost cards and their components.

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Definitions:

Subscapular Bursa

A fluid-filled sac located between the shoulder blade (scapula) and the rib cage that helps reduce friction during shoulder movements.

Shoulder Joint

A ball-and-socket joint that connects the upper arm to the torso, allowing a wide range of arm movements.

Retraction

Movement in the posterior direction.

Protraction

Movement forward or in the anterior direction.