The Operating Cycle Is Composed of

question 13

Multiple Choice

The operating cycle is composed of

• A) the average age of a firm's inventory.
• B) the average collection period.
• C) both a and b
• D) none of the above.

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Definitions:

Domestic

Pertaining to the internal affairs of a country or the household or family environment.

Foreign Corporations

Businesses that are registered, incorporated, or formed in one country but are operating in another where they are considered as foreign.

Self-Tender

An offer by a company to purchase its own shares from shareholders, typically as a strategy to increase share value or fend off unwanted takeover attempts.

Takeover

The acquisition of control over a corporation through the purchase of a substantial number of the voting shares of the corporation.