The Period in the Cash Cycle Where the Customer Places

question 12

Multiple Choice

The period in the cash cycle where the customer places the order, and the firm determines what materials for manufacture are NOT in inventory is called the ________ period.

• A)quotation
• B)input sourcing
• C)accounts payable
• D)accounts receivable

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Definitions:

Nonparticipating

Describing a type of insurance policy or preferred stock where the holder is not entitled to share in the company's profits beyond a specified amount.

Journal Entries

Entries made in the accounting records to document financial transactions, updating account balances accordingly.

Noncumulative

A term often referring to certain preferred stock dividends that do not accumulate if unpaid, meaning if a dividend is skipped, it is not owed in the future.

Nonparticipating

A term often related to insurance policies or preferred stocks that do not have the right to share in additional earnings or dividends beyond a specified amount.