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Calculate the Operating Cash Cycle in Days If All Sales

question 60

Multiple Choice

Calculate the operating cash cycle in days if all sales are for cash, inventory is turned over 8 times a year and creditors are paid on average 5 times a year.


Definitions:

Foreign Exchange Markets

Financial markets where currencies are traded, facilitating international trade and investment by enabling currency conversion.

Exchange Rates

The price of one country's currency expressed in another country's currency, affecting international trade and economics.

Arbitrageurs

Individuals or entities that attempt to profit from price differences of the same or similar financial instruments, across different markets or in different forms.

Speculators

Investors who engage in the buying and selling of financial instruments, commodities, or other assets with the aim of making profits from short-term price fluctuations.

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