Szabo Company Computed the Following Data for 2012 The Estimated Operating Cycle for 2012 Is:
A)97

question 52

Multiple Choice

Szabo Company computed the following data for 2012. $\begin{array}{c}\begin{array}{lll} \text {Days' sales in receivables}\\ \text {Accounts receivable turnover}\\ \text {Accounts receivable turnover in days}\\ \text {Days' sales in inventory}\\ \text {Merchandise inventory turnover}\\ \text {Inventory turnover in days}\end{array}\begin{array}{lll} \text {38.7 days}\\ \text {9.6 times}\\ \text {35.1 days}\\ \text {68.5 day}\\ \text {5.9 times}\\ \text {58.7 days}\end{array}\end{array}$

The estimated operating cycle for 2012 is:

• A)97.4 days.
• B)107.2 days.
• C)93.8 days.
• D)108.0 days.
• E)90.7.

---

Definitions:

Income From Operations

Income from a company’s principal operating activity; determined by subtracting cost of goods sold and operating expenses from net sales.

Trend Percentage

A comparative analysis technique that calculates the change in financial data over multiple periods to identify patterns or trends.

Base Year

A reference year used for comparative financial analysis, providing a benchmark for measuring changes or growth over time.

Discontinued Operations

Components of a business that have been sold or written off and are no longer part of ongoing operations.