Frosty Corporation Has the Following Data, in Thousands A) 25 Days
B) 28 Days
C) 31 Days
D)

question 73

Multiple Choice

Frosty Corporation has the following data, in thousands. Assuming a 365-day year, what is the firm's cash conversion cycle?
$\begin{array}{lr}\text { Annual sales }= & \$ 45,000 \\\text { Annual cost of goods sold }= & \$ 31,500 \\\text { Inventory }= & \$ 4,000 \\\text { Accounts receivable }= & \$ 2,000 \\\text { Accounts payable }= & \$ 2,400\end{array}$

• A) 25 days
• B) 28 days
• C) 31 days
• D) 35 days
• E) 38 days

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Definitions:

Positive Reinforcement

A process in psychology where behaviors are increased or strengthened by providing a reward or positive outcome after the desired behavior is performed.

Negative Reinforcement

A psychological principle where the removal or avoidance of an unpleasant stimulus as a consequence of a behavior increases the likelihood of that behavior being repeated.

Positive Punishment

A behavior modification technique where an undesirable behavior results in a negative outcome to decrease the likelihood of the behavior reoccurring.

Negative Punishment

A behavior modification technique involving the removal of a desirable stimulus to decrease the likelihood of an unwanted behavior's recurrence.